70.5k views
23 votes
Gwen borrows $300 from her parents to buy a bike. She agrees to pay them back with 3% simple interest every month for one year. What is the total amount of money Gwen will owe her parents? *

Just enter the numerical portion of your answer - no dollar signs or change needed!

2 Answers

4 votes

Answer:

408

Explanation:

User Zeachco
by
3.9k points
6 votes

Answer:

309.12

Explanation:

A = total amount

P = principal

r = interest rate

n = number of times interest is compounded

t = time (in years

A = P(1 +
(r)/(n))^nt

A = 300(1 +
(.03)/(12))^12 · 1

A = 300(1.0304)

A = 309.12

User Fabian Mebus
by
3.6k points