Question

You deposit $200 in a bank account. Each year, the amount in your bank account increases 5% due to interest. What is the total in your bank account after 1 year?

Answer 1

After one year, the amount in the bank account will be:

$200 + ($200 x 0.05) = $200 + $10 = $210.

Therefore, the total in the bank account after 1 year is $210.