Step 1:
\The mass of the block is .
The mass of the bullet is .
The initial speed of the bullet is .
The acceleration of gravity is . The combined mass of the block with bullet is:
.
,,, \ \
. By conservation of momentum, you can find the speed of the combined mass just after impact of the bullet.
.
.
The kinetic energy of the combined mass just after impact is: .
. The maximum height the combined mass will rise into the air is:
.
.
The block rise into the air after the bullet becomes embedded is .