Answer:
$1,129.27
Step-by-step explanation:
Compounded interest formula is
[tex]A=P(1+\frac{r}{n})^{nt}[/tex]
Where [tex]A[/tex] is the final amount, [tex]P[/tex] is the principal, [tex]r[/tex] is the anual interest in decimal, [tex]n[/tex] is the numer of compounded periods in one year and [tex]t[/tex] is the time in years.
[tex]P=\$800\\r=0.09\\n=1\\t=4[/tex]
Notice that [tex]n=1[/tex], because the interest is compounded anually, if the interest is compounded, then [tex]n=12[/tex], because there would be 12 compound periods in one year.
Then, we replace all these vaules in the formula
[tex]A=P(1+\frac{r}{n})^{nt}\\A=800(1+\frac{0.09}{1})^{1(4)}=800(1.09)^{4}\\ A=1,129.26[/tex]
Therefore, after 4 years, the amount would be $1,129.27.
