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$20,000 invested at 7% for 3 years

Future value

$24,501

Interest earned

$4,501

Total growth

22.5043%

Investing $20,000 at 7% compounded annually for 3 years grows to $24,501. That's $4,501 of compound interest earned on your original $20,000.

FV = $20,000 × (1 + 7%)^3

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