Answer: $119.26
Step-by-step explanation:
since the annual interest rate is compounded monthly the annual interest rate will be 13.6%/12 = 17/15%
first month payment:
$445.07 x 17/15% - $200 = $304.41 is the balance
second month payment:
$304.41 x 17/15% - $200 = $145.00 is the balance
thus
$145.00 x 17/15% = $164.33
hence total amount paid = $200 +$200 + $164.33 = $564.33
interest = total amount paid - cost = $564.33 - $445.07 = $119.26
