Assume that A contributes $2 000 every end of the year into a retirement account paying 8%. If A retires in 30 years, how much will she have? Select one: a. $226 566 b. $216 566 c. $206 566 d. $236 566

Assume that A contributes $2 000 every end of the year into a retirement account paying 8%. If A retires in 30 years, how much will she have? Select one: a. $226 566 b. $216 566 c. $206 566 d. $236 566

Income Tax Fundamentals 2020

38th Edition

ISBN:9780357391129

Author:WHITTENBURG

Publisher:WHITTENBURG

Chapter2: Gross Income And Exclusions

Section: Chapter Questions

Problem 14MCQ

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Concept explainers

Employer Pension Plan

An employer pension plan is a retirement benefit provided by an employer to employees before or after they retire. Over the course of the employees' working lives, the employer should invest a lump sum or make monthly contributions to investment schemes in employees' names. It is the employer's legal responsibility to provide employees with retirement plans that support them with guaranteed financial security in retirement.

Question

Assume that A contributes $2 000 every end of the year into a retirement account paying 8%. If A retires in 30 years, how much will she have?

Select one:

a. $226 566

b. $216 566

c. $206 566

d. $236 566

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