Previous Page Next Page Page 19 of 20 Question 24 (5 points) On 1/1/05 (day of the first payment) you started contributing to a retirement account $5,000 each year. You stopped this annual contribution on 1/1/15 (day of the last payment) and kept the money in the retirement fund until 12/31/15, when you withdrew the full balance and closed the account. From 1/1/05 to 12/31/15, your retirement account has earned annual 4% compounded annually. Which of the following is (approximately) the amount you collected on 12/31/15, when you closed the account? (note: if your answer is within $300 from one of the answer choices, it's a rounding issue: select that answer. For example, if you got something like $43,950, select the answer"$43.802") $62.432 $45,554 $67,432 $70,129 $43,802 Question 25 (12 points) (continued from the previous question) Which of the following statements are correct about the problem you solved in the previous question? (select all that apply - 1.e. just one or as many as all of them) If the retirement account had earned 2% instead of 4%, on 12/31/15 you would have collected a higher amount. If you had contributed $7,000 per year instead of $5,000, on 12/31/15 you would have collected a higher amount. If you redo the problem using simple interest instead of compound interest, the amount you will collect on 12/31/15 will be lower If you redo the problem using interest that compounds quarterly instead of annually, the amount you will collect on 12/31/15 will be higher