Susie makes $1,900 per month and has an opportunity to save $100 per month at an APR of 3.25 in a 401K plan through work. She plans to retire in 40 years. If income taxes are at 20% for her:
a. If Susie’s company offered a 50% matching, use Excel to determine how much her investment be worth in 40 years.
Write the Excel formula that gives its future value _________________________________________________________
Write the future value the formula gives: _________________________
b. How much would the company contribute to Susie’s 401K over the 30 years?
c. How much more is in the account when Susie retires than how much she deposited?