Question: Leo received $7,500 today and will receive another $5,000 two years from today. He will invest these funds when he receives them and expects to

Leo received $7,500 today and will receive another $5,000 two years from today. He will invest
these funds when he receives them and expects to earn a rate of return of 11.5 percent. What value
does he expect his investments to have five years from today?
A. $18,758.04
B. $18,806.39
C. $19,856.13
D. $20,314.00
E. $19,904.36

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