Question

Edison’s employee matches 20% of Edison’s contributions to his 401(k) plan. If Edison’s employer contributed $700 to the plan last year, how much did Edison contribute to the plan last year?

Answer 1

Answer:

$3500.

Step-by-step explanation:

Let x be the amount contributed by Edison to his 401(k) plan.

We have been given that Edison’s employee matches 20% of Edison’s contributions to his 401(k) plan. Edison’s employer contributed $700 to the plan last year.

To find the Edison's contribution we need to find x such that 20% of x equals 700. We can represent this information in an equation as:

$20\%\text{ of }x=700$

$\frac{20}{100}*x=700$

$0.20*x=700$

Let us divide both sides of our equation by 0.20.

$\frac{0.20*x}{0.20}=\frac{700}{0.20}$

$x=3500$

Therefore, Edison contributed $3500 to the plan last year.