As part of his 401(k) retirement plan at work, Ken Lowery invests 5.0 percent of his salary each mon Lifecycle Fund. At the end of this year, Ken's 401(k) account has a dollar value of $210,800. If the fu percent, what is the amount of the fee? (Round your answer to 2 decimal places.) 12b-1 fee

As part of his 401(k) retirement plan at work, Ken Lowery invests 5.0 percent of his salary each mon Lifecycle Fund. At the end of this year, Ken's 401(k) account has a dollar value of $210,800. If the fu percent, what is the amount of the fee? (Round your answer to 2 decimal places.) 12b-1 fee

Financial Accounting Intro Concepts Meth/Uses

14th Edition

ISBN:9781285595047

Author:Weil

Publisher:Weil

ChapterA: Appendix - Time Value Of Cash Flows: Compound Interest Concepts And Applications

Section: Chapter Questions

Problem 15E

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Concept explainers

Employer Pension Plan

An employer pension plan is a retirement benefit provided by an employer to employees before or after they retire. Over the course of the employees' working lives, the employer should invest a lump sum or make monthly contributions to investment schemes in employees' names. It is the employer's legal responsibility to provide employees with retirement plans that support them with guaranteed financial security in retirement.

Question

As part of his 401(k) retirement plan at work, Ken Lowery invests 5.0 percent of his salary each month in the Capital Investments
Lifecycle Fund. At the end of this year, Ken's 401(k) account has a dollar value of $210,800. If the fund charges a 12b-1 fee of 0.75
percent, what is the amount of the fee? (Round your answer to 2 decimal places.)
12b-1 fee

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