Jennifer recently earned a degree in accounting and her first employment opportunity is an accountant at a major corporation. The 401(k) portion of her employment package has a personal investment cap at 20% of her salary and the employer contribution portion is 50% of her contribution. Her annual salary is $56,500 and she chose to invest 14% annually. FUTURE VALUE of $1 Periods 8 9 10 11 3% 1.267 1.305 1.344 1.384 4% 1.369 1.423 1.480 1.539 FUTURE VALUE of ANNUITY of $1 Periods 8 9 10 11 3% 8.892 10.159 11.464 12.808 4% 9.214 10.583 12.006 13.486 Required: Calculate the value of her 401(k) after 10 years at 4%, and then calculate the value of her 401(k) had she invested the maximum amount that her employer would match.

Jennifer recently earned a degree in accounting and her first employment opportunity is an accountant at a major corporation. The 401(k) portion of her employment package has a personal investment cap at 20% of her salary and the employer contribution portion is 50% of her contribution. Her annual salary is $56,500 and she chose to invest 14% annually. FUTURE VALUE of $1 Periods 8 9 10 11 3% 1.267 1.305 1.344 1.384 4% 1.369 1.423 1.480 1.539 FUTURE VALUE of ANNUITY of $1 Periods 8 9 10 11 3% 8.892 10.159 11.464 12.808 4% 9.214 10.583 12.006 13.486 Required: Calculate the value of her 401(k) after 10 years at 4%, and then calculate the value of her 401(k) had she invested the maximum amount that her employer would match.

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter9: Deduct Ions: Employee And Self-employed - Related Expenses

Section: Chapter Questions

Problem 38P

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