chris worked for a company for 28 years before becoming disabled. he planned to retire at 65, but is…

chris worked for a company for 28 years before becoming disabled. he planned to retire at 65, but is currently 61. his final average salary was $72,000. if his plan offers a benefits rate of 2%, what is his monthly benefit? annual benefit = (years worked + expected retirement age - present age) × rate of benefits × final average salary $? round to the nearest whole dollar.

chris worked for a company for 28 years before becoming disabled. he planned to retire at 65, but is currently 61. his final average salary was $72,000. if his plan offers a benefits rate of 2%, what is his monthly benefit? annual benefit = (years worked + expected retirement age - present age) × rate of benefits × final average salary $? round to the nearest whole dollar.

Answer

Explanation:

Step1: Identify values

Years Worked = 28, Expected Retirement Age = 65, Present Age = 61, Rate of Benefits = 2% = 0.02, Final Average Salary = 72000

Step2: Calculate the value inside the parentheses

$28+(65 - 61)=28 + 4=32$

Step3: Calculate the annual benefit

$32\times0.02\times72000 = 32\times1440=46080$

Step4: Calculate the monthly benefit

$\frac{46080}{12}=3840$

Answer:

3840