7. Michelle is attending a university where tuition for
one year costs $17,000. She has a scholarship
worth $5,000 per year. She earns $2,000 per year
at her part time job. She plans to take out a loan to
cover the remaining tuition costs. If she completes
college in 4 years, how much money will Michelle
need to borrow?
A $20,000 C $40,000
B $30,000 D $50,000
B $30,000
Michelle's total expenses for one year of college would be $17,000 - $5,000 scholarship + $2,000 job earnings = $14,000.
Over 4 years, her total expenses would be $14,000 x 4 = $56,000.
To cover the remaining tuition costs after her scholarship and job earnings, Michelle would need to borrow $56,000 - ($17,000 - $5,000 + $2,000) = $30,000.