starting with $5 at a 10% interest rate per period (likely monthly). Each step multiplies the amount by 1.1 (i.e., a 10% increase):

Formula used:

\text{New Amount} = \text{Previous Amount} \times 1.1

Here’s a breakdown of the first few steps:

1. $5.00 × 1.1 = $5.50

2. $5.50 × 1.1 = $6.05

3. $6.05 × 1.1 = $6.66

4. $6.66 × 1.1 = $7.33

...and so on up to 32 steps.

This is how compound interest grows over time—small gains at first, then exponential growth later.