ashley borrowed $8000 at a rate of 9%, compounded monthly. assuming she makes no payments, how much will she…

Explanation:

Step1: Identify compound - interest formula

The compound - interest formula is $A = P(1+\frac{r}{n})^{nt}$, where $P$ is the principal amount, $r$ is the annual interest rate (in decimal form), $n$ is the number of times interest is compounded per year, and $t$ is the number of years.

Step2: Convert values to appropriate form

Given $P=$8000$, $r = 9%=0.09$, $n = 12$ (compounded monthly), and $t = 9$ years.

Step3: Substitute values into formula

$A=8000(1 +\frac{0.09}{12})^{12\times9}$. First, calculate $\frac{0.09}{12}=0.0075$. Then, $1+\frac{0.09}{12}=1 + 0.0075=1.0075$. And $12\times9 = 108$. So, $A = 8000\times(1.0075)^{108}$.

Step4: Calculate the result

$(1.0075)^{108}\approx2.193691$. $A=8000\times2.193691=$17549.53$.

Answer:

$17549.53$