Respuesta :
Answer:
$6540.
Step-by-step explanation:
We have been given that a personal trainer makes $25000 per year and has just begun contributing 6% of his salary to his 401k plan.
Let us find trainer's contribution to 401k plan by calculating 6% of $25,000.
[tex]\text{Trainer's contribution to 401k plan per year}=\frac{6}{100}\times \$25,000[/tex]
[tex]\text{Trainer's contribution to 401k plan per year}=0.06\times \$25,000[/tex]
[tex]\text{Trainer's contribution to 401k plan per year}=\$1500[/tex]
As his employer matches 9% of his contribution, so amount contributed by employer to trainer's 401k plan per year will be 9% of 1500.
[tex]\text{Employer's contribution to trainer's 401k plan per year}=\$1500*\frac{9}{100}[/tex]
[tex]\text{Employer's contribution to trainer's 401k plan per year}=\$1500*0.09[/tex]
[tex]\text{Employer's contribution to trainer's 401k plan per year}=\$135[/tex]
[tex]\text{Total amount contributed to personal trainer's 401k plan per year}=\$1500+\$135[/tex]
[tex]\text{Total amount contributed to personal trainer's 401k plan per year}=\$1635[/tex]
To find the amount contributed to the 401k plan after 4 years, we will multiply $1635 by 4.
[tex]\text{Total amount contributed to personal trainer's 401k plan after 4 years}=\$1635*4[/tex]
[tex]\text{Total amount contributed to personal trainer's 401k plan after 4 years}=\$6540[/tex]
Therefore, $6540 will have been contributed to the 401k plan after 4 years.
