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$3,000 invested at 5% for 1 years

Future value

$3,150

Interest earned

$150

Total growth

5%

Investing $3,000 at 5% compounded annually for 1 years grows to $3,150. That's $150 of compound interest earned on your original $3,000.

FV = $3,000 × (1 + 5%)^1

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