Your company sponsors a $401($k$)$ plan into which you deposit $1$1 percent of your $$121,000$ annual income. Your company matches $7$7 percent of the first $10$ percent of your earnings. You expect the fund to yield $1$3 percent next year. Assume you are currently in the $31$ percent tax bracket.

a$.$ What is your annual investment in the $401($k$)$ plan? $($Round your answer to the nearest whole number. $($e$.$g$.,32))$

b$.$ What is your one$-$year return? $($Round your answer to $3$ decimal places. $($e$.$g$.,32\mathrm{.}161))$

 

Answer rating: 100% (QA)

To calculate the answers lets break down the given information Annual income 121000 401k contributio... View the full answer