A Year Ago, You Deposited $30,000 into a Retirement Savings

Multiple Choice

A year ago, you deposited $30,000 into a retirement savings account at a fixed rate of 5.5 percent. Today, you could earn a fixed rate of 6.5 percent on a similar type account. However, your rate is fixed and cannot be adjusted. How much less could you have deposited last year if you could have earned a fixed rate of 6.5 percent and still have the same amount as you currently will when you retire 38 years from today?

A) $2,118.42 less
B) $3,333.33 less
C) $5,417.09 less
D) $7,274.12 less
E) $9,234.97 less