Dave had a balance of $236.17 on his department store charge account.
How much interest did he have to pay for the month if the rate was 1.7%
per month finance charge?
a. $40.15
b. $4.25
c. $4.01
d. $157.45
The amount of interest Dave had to pay can be calculated by multiplying the balance by the monthly finance charge rate:
Interest = $236.17 x 0.017 = $4.01
Therefore, the answer is c. $4.01.