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Suppose you deposit $2,000 in a bank saving account that pays interest at a rate of 3% per year. Assume that you don't withdraw the
Suppose you deposit $2,000 in a bank saving account that pays interest at a rate of 3% per year. Assume that you don't withdraw the interest earned at the end of each interest period (year), but instead let it accumulate. Typically, compound interest is charged so this question and all subsequent ones considers that compound interest is charged.
How much would you have at the end of year three with compound interest?
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