Interest Rate

There was a young man who wanted to save so he opened a savings account at the local bank. He made it a point to always add and not make withdraws. Deposits only. The man also wanted to make annual goals for how much he could save and decided to use his interest as the bench mark. His first goal was to make $1.00 interest from his savings and he was able to accomplish this in the first year. But, he did not withdraw the $1.00, instead he re-invested it into the savings account. As a goal the young man wanted to increase his annual interest by $1.00. In 5 years, he was up to $5.00. All of a sudden, the young man noticed the great amount he had saved up throughout the years.

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