Stephanie Is Going to Contribute $300 on the First of Each

question 18

Multiple Choice

Stephanie is going to contribute $300 on the first of each month,starting today,to her retirement account.Her employer will provide a 50 percent match.In other words,her employer will contribute 50 percent of the amount Stephanie saves.If both Stephanie and her employer continue to do this and she can earn a monthly rate of 0.90 percent,how much will she have in her retirement account 35 years from now?

• A)$1,936,264
• B)$1,943,286
• C)$1,989,312
• D)$2,068,418
• E)$2,123,007

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Definitions:

Unregulated Monopoly

A market structure in which a single supplier dominates the market without any government intervention or regulation.

Economically Efficient

A situation where resources are allocated in a way that maximizes the production of goods and services without wasting any resources.

Zero Economic Profits

A situation where a firm's total revenues exactly equal its total costs, indicating no supernormal profit but covering all operating expenses.

Long-Run Equilibrium

A state in which a market's supply and demand balance out over time, with all firms earning normal profit and no incentive for new firms to enter or existing ones to exit.