1. If I start a job today and will immediately begin contributing to a \\(...

90.2K

Verified Solution

Question

Finance

image 1. If I start a job today and will immediately begin contributing to a \\( 401 \\mathrm{k} \\), how much will I have after 25 years, given the following assumptions? \\( \\$ 125,000 \\) Salary \6.00 of salary put to \\( 401 \\mathrm{k} \\), contributed at year end every year 25 years of contributions \5.50 Return on investments during working years 2.5 per year as well, what would my balance be after 25 years? \2.50 3. If I make those deposits monthly (i.e., 1/12th of the amount 12 times spread out over the year), and the investments make returns monthly as well, would the amount I have at the end of 25 years increase, or would it decrease? In other words: would the amount be larger or smaller than what you answered in \\#1? \\(

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students