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Interest on the Initial Deposit of 1,200 for the First 2 Years Principal after 2 Years = 1200 + 120 = 1320 And 800 is added additionally Total principal for investing for next 3 years = 1320+800 = 2120 Â Interest on the 2120 for the Remaining 3 Years
total interest earned over the entire 5-year period = 120+318 = 438
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