if someone deposits $150 into a bank account that earns 15% every year and withdraw thier...

if someone deposits $150 into a bank account that earns 15% every year and withdraw thier interest every year for 2 years, how much interest do they collect in thise years?

step by step how to do it

Expert Solution

Interest = Principal * Rate * Time

First year interest = $150 * 0.15 *1 = $22.5

Now, in second year we will deposit $150 and principal becomes $300

Second year interest = $300 * 0.15 * 1 = $45

Total interest = $22.5 + $45 = $67.5

jeff jeffy answered 2 years ago

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