We have to use the compound interest formula to solve this problem.
The compound interest formula:
[tex]F=P(1+r)^n[/tex]Where
F is the future value [what we are solving for]
P is the principal, or initial, amount [It is $1000]
r is the rate of interest per period [It is given 8% annual interest, so 8/12 = 0.66% per month, in decimal that is r = 0.0066]
n is the time period [monthly compounding for 9 years is n = 12 * 9 = 108]
Now, we can substitute all the known information and solve for F:
[tex]\begin{gathered} F=P(1+r)^n^{} \\ F=1000(1+0.0066)^{108} \\ F=2048.06 \end{gathered}[/tex]After 9 years, the balance is:
$2048.06