What is amount of interest paid on unpaid balance?

The amount of interest paid on an unpaid balance depends on the interest rate and the duration for which the balance remains unpaid. Typically, interest is calculated using the formula: Interest = Principal × Rate × Time. The interest rate is often expressed as an annual percentage rate (APR), so the time frame must be adjusted accordingly. Therefore, to determine the exact amount, you would need to know the principal amount, the interest rate, and the time period the balance is carried.