Question 1204379: Francine currently has $75,000 in her 401k account at work, and plans to contribute $6,000 each year for the next 15 years. How much will she have in the account in 15 years, if the account averages a 7% annual return?
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Answer by ikleyn(52884)   (Show Source):
You can put this solution on YOUR website! Francine currently has $75,000 in her 401k account at work, and plans to contribute $6,000 each year
for the next 15 years. How much will she have in the account in 15 years, if the account
averages a 7% annual return?
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One part grows as one-time deposited account with $75,000 starting principal
 =  =  = $206,927.37 (rounded to the closest cent).
Another part grows as the ordinary annuity with $6,000 deposited at the end of each year
 =  = $150,774.13 (rounded).
In 15 years, the total future value of the two accounts is
A = + = $206,927.37 + $150,774.13 = $357,701.50. ANSWER
Solved.
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