Simple Interest:

54000 x 0.038 x (3/12) =

I don't know what I'm doing wrong

The simple interest rate equation is I = Prt

I = interest

P = principle ($54,000)

r = rate (3.875%)

t = time (3 months, so. 25 years)

I = Prt

I = (54,000) * (.03875) * (.25)

I = $523.125

I = Prt

I = 54000*.03875*3

54000 is the principal

.00875 is the same thing as 3 + (7/8) %, because to make a decimal a percentage you multiply by 100

3 is the time

I = 6277.5

That's the amount that has been made off of interest alone. If you're looking for the total amount of money, it's 54000+6277.5=60277.5