Question

Tom leaves a deposit of a $420 savings account for three years. The account came to 4.5% interest per year.

How much interest is earned in three years?
How much does the deposit amount to after three years?

Answer 1

Me again!! :)

Initial amount * interest rate ^ years

So: 420 * 1.045^3

= $479.29

$59.29 has been earned and there is $479.29 in the account