G.6
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Compound Interest
Skill G.6 · Consumer math · ★★☆ Medium
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Interest is compounded once a year. Round to the nearest cent.
Example
Think: Each year the balance is multiplied by (the whole balance plus of it), so after 2 years it is multiplied by . Simple interest would give only .
- 1Maya deposits in an account that earns interest compounded annually. What is the balance after years?
- 2Grace deposits in an account that earns interest compounded annually. What is the balance after years?
- 3Omar deposits in an account that earns interest compounded annually. How much interest does the account earn in years?
- 4Leo deposits in an account that earns interest compounded annually. How much interest does the account earn in years?
Answer Key
G.6 Compound Interest · ★★☆ Medium
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