CPM Homework Help : CC2 Problem 8-25

Joaquin has agreed to lend his younger brother $\$45$ so that he can buy a new tank for his pet lizard. Joaquin is charging his brother $2\%$ simple interest per month. If his brother pays him back in $6$ months, how much will Joaquin get back?

Hint:

Calculate the interest Joaquin will earn for one month by calculating what $2\%$ of $\$45$ would be.
Once you know how much interest he will earn for one month, can you calculate how much he will earn for $6$ months?

Step 1:

$2\%=0.02$
$(0.02)(\$45)=\$0.90$

Step 2:

Add the total interest earned to the original amount Joaquin lent his brother.

Answer:

$\$50.40$