marcus worked for a company for 28 years before becoming disabled. he planned to retire at 66, but is…

marcus worked for a company for 28 years before becoming disabled. he planned to retire at 66, but is currently 61. his final average salary was $69,000. 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: Calculate the number used in the formula
The number of years worked is 28, the expected retirement age is 66, and the present age is 61. So, $28+(66 - 61)=28 + 5=33$.
Step2: Calculate the annual benefit
The rate of benefits is 2% or 0.02, and the final - average salary is $69000$. The annual benefit is $33\times0.02\times69000$. $33\times0.02\times69000 = 33\times1380=45540$.
Step3: Calculate the monthly benefit
To find the monthly benefit, divide the annual benefit by 12. So, $\frac{45540}{12}=3795$.
Answer:
$3795$