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Pat Davis has earned a promotion that will pay an annual bonus of $10,000 at the end of the first year and increase by 12% each year thereafter.

Pat Davis has earned a promotion that will pay an annual bonus of $10,000 at the end of the first year and increase by 12% each year thereafter. He is going to deposit his annual bonus into a fund that has an annual percentage rate of 5% compounded monthly that presently has $30,000 in it. He plans to retire in 15 years. How much will be in the fund at the time he retires?

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