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Which of the following locations would most likely contain a high percentage of sand?
Tax-Deferred Plans
Investment accounts, such as IRAs or 401(k)s, where contributions may reduce taxable income in the year made, with taxes paid later upon withdrawal.
Accumulation Period
The phase in some investment vehicles, such as annuities, during which an investor builds up their investment value through payments or investment returns.
Distribution Period
The timeframe over which payments are made from a retirement or investment account to the account holder.
Traditional IRA
An individual retirement account offering tax advantages, where contributions may be tax-deductible and investment growth is tax-deferred until withdrawal.
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