Answer:
$3.46
Step-by-step explanation:
Unpaid February balance = $345.67
Annual Percentage Rate(APR) = 13.99 %
= [tex]\frac{13.99}{100}[/tex]
= 0.1399 (converted into decimal)
Periodic (monthly) interest rate = [tex]\frac{0.1399}{12}[/tex] (since there are 12 months in a year)
= 0.01
Interest he owes on his unpaid February balance of $345.67
= Periodic (monthly) interest rate * unpaid February balance
= 0.01 * 345.67
= 3.456
= $3.46 (rounded off to the hundredth place)
