Can we tell the differences between 4K and 5K?
Consider two actual physical books.
One is an atlas. It's very large. 19 inches tall, 12 inches wide, and of course it's only useful when it's open-- 24 inches wide.
Along with the usual maps, the publishers have included photos of the earth taken from orbit, so yes, you can ooh and ah at the "resolution."
The other is a birding guide. It's fairly small. 7.7 inches tall, 4.2 inches wide. Inside are maps, and photos of birds. Now, the photos may look fairly spectacular. If the publisher and taken any care, they may be really high resolution. At the same time, though, two pages of the atlas are going to be more informative than two pages of the birding guide-- simply because the birding guide does not use a 4 point font and the atlas does not use a 36 point font (at least for body text)
The imac is designed to be the computer equivalent of an atlas. You can, if you choose to do so, display many more column inches of type, many more controls, many more emails, than you can with an macbook.
The 5k display came about because someone at Apple thought it would be a great idea to double the pixel size of a 2880x1440 display. If the iMac only displayed 4k, some people would come to believe that it was cramped. If it kept the old 2.5k display, some other users might think it didn't look as nice as an ipad, or a retina macbook pro. The only downside, and it is a serious issue, is that even the top end graphics card is less than half as powerful as it needs to be for 5k gaming^H^H^H^H^H^H workloads.