Question

"Lisa is saving money to attend the University of North Texas when she graduates from high school. If she puts $3000 in the bank and gains 5.5% simple interest for 4 years, how much money will she have at the end of the 4 years?"

Answer 1

Lisa will have $3660 at the end of 4 years with simple interest.

Step-by-step explanation:

To calculate the amount of money Lisa will have at the end of 4 years with simple interest, we can use the formula:

Total amount = Principal + (Principal × Interest Rate × Time)

Where Principal is the initial amount of money, Interest Rate is the interest rate per year, and Time is the number of years.

In this case, the Principal is $3000, the Interest Rate is 5.5%, and the Time is 4 years.

Substituting these values into the formula, the calculation is:

Total amount = $3000 + ($3000 × 0.055 × 4)

= $3000 + ($660)

= $3660

Therefore, Lisa will have $3660 at the end of 4 years.