Your company sponsors a 401(k) plan into which you deposit 12 percent of your $60,000 annual income.
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Your company sponsors a 401(k) plan into which you deposit 12 percent of your $60,000 annual income. Your company matches 50 percent of the first 5 percent of your earnings. You expect the fund to yield 10 percent next year.
If you are currently in the 31 percent tax bracket, what is your annual investment in the 401(k) plan and your one-year return? (LG 18-3)
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Related Book For
ISE Financial Markets And Institutions
ISBN: 9781265561437
8th International Edition
Authors: Anthony Saunders, Marcia Cornett, Otgo Erhemjamts
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