Which of the following loans will have a higher total cost? a loan for $5,000 at 3.5 percent over a loan period of four years. a loan for $5,000 at 3.5 percent over a loan period of six years.

Given the problem above, let's compute both loans first in order to compare which is which. 
Loan A $5,000 with 3.5% interest to be paid for four years
Loan B $5,000 with 3.5% interest to be paid for six years
Let's solve for the 3.5% of 5,000 so it will be 175. So every year, there is an interest of $175 per year.

so for loan A, $5000 + 175(4) = $5700
Loan B, $5,000 + 175(6) = $6,050
Based on the given results, it is loan B that will have a higher cost.

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