Trent is 25 years old and works for a company that matches his 401(k) contribution up to 5%. The interest rate for his 401(k) is 7. 3%. If he puts away 10% of his $32,000 salary every year, what would the total of his 401(k) be in 10 years? Round your answer to the nearest cent. A. $67,266. 16 b. $72,176. 59 c. $33,250. 60 d. $35,677. 89 Please select the best answer from the choices provided A B C D.

The interest rate is a proportion of the principal that a lender charges a borrower. The annual percentage rate (APR) is the term used to describe the interest rate on a loan (APR).

Trent calculates the future value of the contribution using the Future Value formula with an increased contribution each year.

On doing the annual Contribution calculation we get;

The formula for calculating the future value of a yearly donation is as follows:

If F is the future value, P is the present value,n is the time period and I is the interest rate then;

Future value = Present value(1+ Interest rate)ⁿ

[tex]\rm F= P(1+I)^n \\\\ \rm F= 3200(1+7.3 \%)^{10} \\\\ \rm F= \$\ 34443.6[/tex]

Similarly, the formulas may be used to obtain a total contribution value of $72176.59.

Hence the best answer from the choices provided will be B. The total of his 401(k) be in 10 years will be $72,176. 59.

To learn more about the interest rate refer to the link;

https://brainly.com/question/4626564