Sagot :
The formula for compound interest is:
[tex]F=P(1+r)^n[/tex]Where
F is future amount [what we want]
P is initial amount [Here, 800]
r is rate of interest per period [7% annual, so monthly would be 7/12 = 0.5833%] [in decimal, 0.5833/100 = 0.0058]
n is time period, or number of compoundings [monthly for 8 years is 8 * 12 = 96 months]
Substituting into formula, we find F:
[tex]\begin{gathered} F=P(1+r)^n \\ F=800(1+0.0058)^{96} \\ F=800(1.0058)^{96} \\ F=1393.8196 \end{gathered}[/tex]Rounding to nearest cent, the account will be worth:
$1393.82