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Use the Table Below to Answer the Following Question(s) -What Will Be the Amount of Employee Contribution to Retirement

question 13

Multiple Choice

Use the table below to answer the following question(s) .
Sheila joined Simsin Tradings at the age of 36 with a starting salary of $75,000.She expects a salary increase of 5 percent every year.Her retirement plan requires her to pay 9 percent of her salary, while the company matches it at 32 percent.She expects an annual return of 7 percent on her retirement portfolio.Using a predictive model for Sheila's first five years, calculate the following, assuming that the salary increases at the same rate every year, and the return of interest does not change.
$\begin{array}{l}\text { Retirement Plan Model for Sheila }\\\begin{array} { | l | l | } \hline \text { Data } & \\\hline \text { Retirement Contribution ( percent of salary) } & \\\hline \text { Employer Match } & 9 \text { percent } \\\hline \text { Annual Salary Increase } & 32 \text { percent } \\\hline \text { Annual Return on Investment } & 5 \text { percent } \\\hline & 7 \text { percent } \\\hline\end{array}\end{array}$
-What will be the amount of employee contribution to retirement plan when Sheila is aged 38?

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Northwest Ordinance

A significant legislative act passed in 1787 by the Confederation Congress, which set the protocols for the expansion and governance of territories in the Northwest and their path to statehood.

1787

The year notable for the drafting of the United States Constitution at the Philadelphia Convention.

Ordinance of 1784

A law drafted by Thomas Jefferson that regulated land ownership and defined the terms by which western land would be marketed and settled; it established stages of self-government for the West. First Congress would govern a territory; then the territory would be admitted to the Union as a full state.

Slavery

A system where individuals are owned by others, deprived of personal freedom and compelled to work without wages.