Calculate the amount of the interest earned from 1st to 10th year. at interest rate 8% per annum.

a) 115.89

b) 217,22

c) 215.89

d) 317.22

Calculate the interest earned during the 5th year.

a) 6.74

b) 6

c) 7.15

d) 7.58

Figure 5.1 Future Value and Compound Interest Illustrated (Panel B) The Power of Time Figure 5.1 Future Value and Compound Interest Illustrated (Panel A) Calculating Compound Interest Interest Earned = Beginning Value Interest Rate