It Is January 1st and Darwin Davis Has Just Established

question 13

Multiple Choice

It is January 1st and Darwin Davis has just established an IRA (Individual Retirement Account) . Darwin will put $1,000 into the account on December 31st of this year and at the end of each year for the following 39 years (40 years total) . How much money will Darwin have in his account at the beginning of the 41st year? Assume that the account pays 12% interest compounded annually, and round to the nearest $1,000.

• A) $93,000
• B) $766,000
• C) $767,000
• D) $850,000

---

Definitions:

Over-time

Additional hours worked beyond the standard workweek, typically compensated at a higher pay rate.

SWOT Analysis

A strategic planning tool used to identify Strengths, Weaknesses, Opportunities, and Threats related to business competition or project planning.

Weaknesses

Attributes or areas that require improvement to reach desired goals or to maintain competitiveness.

Strategy

A high-level plan or set of actions designed to achieve long-term or overall goals under conditions of uncertainty.