Given:
Principal, P= $1000
Interest rate, r = 0.8% = 0.008
Number of years, n = 25 years
To find the amount of money after 25 years, use the compound interest formula below.
[tex]A\text{ = }P(1+r)^n[/tex]Thus, we have:
[tex]A\text{ = }1000(1+0.008)^{25}[/tex][tex]\begin{gathered} A=1000(1.008)^{25} \\ \\ \text{ = 1000}(1.22043) \\ \text{ = 1220}.43 \end{gathered}[/tex]Therefore, the amount of money in the account after 25 years is $1,220.43
ANSWER:
$1,220.43
