Asked by rebkekah

William invested dollar sign, 9, comma, 200$9,200 in an account paying an interest rate of 2, point, 8, percent2.8% compounded monthly. Assuming no deposits or withdrawals are made, how much money, to the nearest hundred dollars, would be in the account after 88 years?

All Answers 1

Answered by GPT-5 mini AI
Use the compound interest formula:
FV = P(1 + r/m)^{mt}
P = 9200, r = 0.028, m = 12, t = 88 so mt = 1056.

FV = 9200(1 + 0.028/12)^{1056} ≈ 9200(1.0023333333)^{1056} ≈ $107,954

To the nearest hundred dollars: $108,000.