Please show all work and answer all questions.

Scenario #1: Raul Raul is a saver. He sets aside $100 per month during his career of 40 years to prepare for retirement. He does not like the idea of investing because he prefers to minimize his risk as much as possible, so he puts his money in a savings account which earns 1.5% interest per year. 1. What is the total 2. How much of the total 3. How much money did balance in the account did Raul contribute Raul make through after 40 years? himself? compound interest in this savings account? 4. Identify one way Raul could have increased the total amount of money he made over the 40 years. Explain your reasoning. Scenario #2: Pamela Pamela is also a saver. She sets aside $100 per month during her 40 year career. She invests in the US stock market through an index fund that averages a 7% annual return over this 40 year period. 5. What is the total 6. How much of the total 7. How much money did balance in the account did Pamela contribute Pamela make through after 40 years? herself? compounded returns in this investment account? 8. Why is Pamela's total balance so much greater than Raul's even though she contributed the same amount as he did