Kristina Is Deciding Whether to Deposit $1,000 Per Year for 10

question 144

Short Answer

Kristina is deciding whether to deposit $1,000 per year for 10 years into an RRSP, or to wait five years, and then deposit $2,000 per year. If interest is 4.25% compounded yearly, which option should Kristina choose? What is the economic advantage of her choice?

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Definitions:

Sex Research

The scientific study of human sexuality, including behaviors, functions, and its influence on society.

Alfred Kinsey

An American biologist and sexologist who is known for his research on human sexuality in the mid-20th century, notably the Kinsey Reports.

Conservative Groups

Organizations or factions holding traditional values and beliefs, often promoting the preservation of established institutions and resistance to rapid change.

Masturbation

is the self-stimulation of the genitals to achieve sexual pleasure.