Upon starting your new job after college, you've been confronted with selecting the investments for your 401k retirement plan. You have four choices for investing your money:
• A money market fund that has historically Returned about 3% per year.
• A long-term bond fund that has earned an average annual return of 7%.
• A conservative common-stock fund that has earned 9% per year.
• An aggressive common-stock fund that has earned 12% per year.
a. If you were to Contribute $ 5,000 per year for the next 35 years, how much would you accumulate in each of the above funds?
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