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10 February, 06:52

Suppose Charlie places $7000 in an account that pays 12% interest compounded each year. Assume that no withdrawals are made from the account.

amount at the end of one year

amount at the end of two years

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  1. 10 February, 08:32
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    7000/.12=840

    840x2=1680

    At the end of year one you will have $840 and $7840 total

    At the end of year two you will have $1680 and $8680 total
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