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$100,000 invested at 2% for 1 years

Future value

$102,000

Interest earned

$2,000

Total growth

2%

Investing $100,000 at 2% compounded annually for 1 years grows to $102,000. That's $2,000 of compound interest earned on your original $100,000.

FV = $100,000 × (1 + 2%)^1

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