Final answer:
To find the number of Nadia's restaurant stores in 2007, we need to apply the formula for compound growth over 8 years, starting from 200 stores in 1999 with an 8% annual growth rate. The compound interest formula A = P(1 + r/n)^(nt) is used, resulting in A = 200(1.08)^8.
Step-by-step explanation:
The question is asking to calculate the number of stores operated by Nadia's fast food chain in 2007, given that she started with 200 stores in 1999 and experienced an annual growth rate of 8%. To solve this, we first determine the number of years between 1999 and 2007, which is 8 years. Next, we use the formula for compound interest to calculate the growth of the number of stores:
A = P(1 + r/n)^(nt)
Where A is the amount of stores after t years, P is the initial amount of stores, r is the annual growth rate, n is the number of times the growth is applied per year (which is 1 for annual growth), and t is the number of years.
Using the values: P = 200, r = 0.08 (8%), n = 1, and t = 8, we get:
A = 200(1 + 0.08/1)^(1*8)
A = 200(1.08)^8
Calculating this gives us A, which is the number of stores in 2007.