Tiffany put a $1550 item on layaway by making a 20% down payment and agreeing to pay $120 a month. how many months sooner would she pay off the item if she increased her monthly payment to $180?
a. 18 months sooner
b. 11 months sooner
c. 4 months sooner
d 7 months sooner

1550*0.8=1240

1240/120 = approximately 11 months to pay off

1240/180=approximately 7 months to pay off

11-7 =4

 so it would be paid off 4 months sooner, so C is the answer

Option: C is the correct answer.

                   C. 4 months sooner.

Total amount of the item is: $ 1550

Also, Tiffany paid 20% of the amount by down payment.

Hence, the amount left to pay after the down payment is:80% of total amount.

i.e. 0.80 of total amount.

= 0.80×1550

= $ 1240

Now the number of month it will take if she pay $ 120 a month is:

which is approximately equal to 11 months.

Similarly, the number of month it will take if she pay $ 180 a month is:

which is approximately equal to 7 months.

Hence, the number of months sooner she will pay off is:

                                11-7=4 months.

add an image

step-by-step explanation:

$75.00

step-by-step explanation:

i = prt

i = 1,5000 * 0.025 * 2

i = 75