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Marta has 70 dollars in a savings account.  The interest rate is 5%, compounded annually.  To the nearest cents, how much interest will she earn in 2 years?

 Feb 19, 2021
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Interest  amt after  2  years   =

 

Amt  after  two years -  Initial amt

 

70  ( 1.05)^2  - 70     ≈   $7.18

 

cool cool cool

 Feb 19, 2021
edited by CPhill  Feb 19, 2021

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