



 
Hi Donna, I am assuming your interest rate is 7% per year, compounded once a year. Thus at the end of the first year you will have your original $45.00 plus 7% of $45.00. Hence at the end of the first year you will have
This amount you reinvest for the second year and hence at the end of the second year you will have
This amount you reinvest for the third year and hence at the end of the third year you will have
and so on. Penny  


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