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Kate received a financial aid package from the college she will attend. The breakdown for one year includes:

Cost of attendance: $32,500
Grants and scholarships: $15,000
Work-study: $2,000
Stafford Loan: $3,500

If Kate attends this college for 4 years, what is the total cost that is NOT covered by any form of financial aid?


A. $78,000
B. $48,000
C. $12,000
D. $53,000

1 Answer

4 votes

Final answer:

The total cost not covered by financial aid for Kate to attend college for four years is $48,000. This is calculated by subtracting the sum of all financial aid components from the yearly cost and multiplying by four.

Step-by-step explanation:

Kate received a financial aid package for college that includes various forms of aid for one year's cost of attendance at $32,500. This aid consists of grants and scholarships totaling $15,000, a work-study program offering $2,000, and a Stafford Loan worth $3,500.

To calculate the total cost not covered by financial aid for four years, we subtract the sum of the grants, scholarships, work-study, and loan from the cost of attendance for one year and then multiply the result by four:

Total uncovered cost per year = Cost of attendance - (Grants and scholarships + Work-study + Stafford Loan) = $32,500 - ($15,000 + $2,000 + $3,500)

Total uncovered cost per year = $32,500 - $20,500 = $12,000

Total uncovered cost for four years = $12,000 x 4 = $48,000

Therefore, the total cost not covered by any form of financial aid after four years is $48,000, which is option B.

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