Using the Rule of 78, find the amount of unearned interest for the loan paid in full before the date of maturity. Round to the nearest cent.
-Finance charge: $80,696
Total number of payments: 354
Remaining number of payments, when paid in full: 22

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The Rule of 78 is a method for calculating the amount of unearned interest on a loan that is paid off early. The formula for the Rule of 78 is:Unearned interest = (Finance charge x Remaining number of payments) / Total number of paymentsIn this case, the finance charge is $80,696, the total number of payments is 354, and the remaining number of payments is 22. Plugging these values into the formula, we get:Unearned interest = (80,696 x 22) / 354= $324.92Therefore, the amount of unearned interest is $324.92.

Using the Rule of 78, Find the Amount of Unearned