The treasurer of the student council decided to look into other funding options for the DJ and the photographer. With your team, examine how each loan would grow and find a way to compare the loans. Assume that a month is 4 weeks. Then find answers to the questions below.

The local bank

offered to loan

the student

council $955 for

1% weekly

simple interest.

The Math Club

offered to loan

the student

council $940 for

4.5% monthly

simple interest.

The Booster Club

offered to loan the

student council

$960 and would

add $36 interest

each month.

a. Which loan would grow most quickly? That is, which has the most interest added each month?

b. What is the monthly interest rate the Booster Club is offering? Show how you got your answer.

c. For which loan would the student council owe the most money overall after 3 months? Justify your answer.