Question

Jolene works for a company that does not offer retirement matching. For the last 16 years, Jolene has been depositing $150 into her 401(k) savings account that pays 5.99% interest annually. After 16 years, how much money has been deposited into the 401(k) by Jolene?

Round your answer to the nearest dollar.

Answer 1

$2,543.84 is your answer.

Explanation:

What you do first is you have to figure out the 5.99% interest rate.

150 x 5.99 = 8.99

150 + 8.99 = $158.99

Now multiply that by 16

158.99 x 16 = $2,543.84 is your answer.