Question 16 (0.5 points) Joe's starting salary is $80,000 per year. He plans to put 12% of his salary each year into a mutual fund. He expects his salary to increase by 5% per year for the next 30 years, and then retire. If the mutual fund will average 7% annually over the course of his career, how much money will he have to retire on? $1,655,645 $1,897,435 $1,316,328 $1,579,217 Question 17 (0.5 points) Anderson Manufacturing Co., a small fabricator of plastics, needs to purchase an extrusion molding machine for $150,000. They will borrow money from the bank at 7% interest over five years. Since they expect sales to be slow during the first year, but to increases at an annual rate of 10% a year, the company arranges with the bank to pay off the loan using a "balloon scale" which results in the lowest payment at the end of the first year, and each subsequent payment will be 10% higher than the previous payment. what is the size of the first payment on the loan? $30,350 $28,350 $27,350 29,350