Ashley has a balance of $4,000 on her credit card with an annual interest rate of 13%. to pay off the $4,000 in three years, ashley will have to make a minimum payment of $134.78 per month. to pay off the $4,000 in five years, ashley will have to make a minimum payment of $91.01 per month. how much more interest will ashley pay when the length of the loan changes from 3 years to 5 years? a) $488.20 b) $608.52 c) $1,671.90 d) $5,460.60

Ashley would have to pay an additional $608.52 in interest when the length of the loan changes from 3 years to 5 years.

Step-by-step explanation:

Although the problem gives us the initial amount of the balance ($4000) and the interest rate (13%), we are really only concerned with the total amount Ashley will make in payments in three years versus five years.  If she pays $134.78 for three years, that is 36 months, or $134.78 times 36 which is equal to $4852.08.  However, if she decides to take longer to pay it and instead pays $91.01 for five years, or 60 months, then her total amount paid would be $5460.60.  To find the difference between these two, simply subtract $5460.60-$4852.08 to get $608.52.  

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step-by-step explanation: lol