Gary's initial deposit was $100 as per graphical data. He earns $10 each year in simple interest according to consistent increments observed along both axes of a plotted linear graph representing his financial growth over time.
The image presents a mathematical problem involving simple interest, represented graphically. The graph shows a linear relationship between the sum deposited and the simple interest earned, indicating that as the interest increases, so does the total sum deposited.
From the graph, it is evident that when no interest has been earned (0 on the x-axis), Gary’s initial deposit was $100. This is because at this point, only his original deposit is in his account without any added interest.
Furthermore, for every increase of $10 in simple interest (as shown on the x-axis), there is a corresponding increase of $10 in total deposits (on the y-axis). This pattern continues consistently throughout all points plotted on this linear graph. Therefore, we can conclude that Gary earns $10 each year in simple interest.
This graphical representation succinctly illustrates how Gary’s account balance grows annually due to consistent accrual of simple interest. It underscores a fundamental principle of finance where money grows over time when subjected to positive rates of return or interests.