Marla Maple Sugar Company sells to the 12 accounts listed below.

Trump Financial Corporation will lend 90 percent against account balances that have averaged 30 days or less; 80 percent for account balances between 31 and 40 days; and 70 percent for account balances between 41 and 45 days. Customers that take over 45 days to pay their bills are not considered as adequate accounts for a loan.
The current prime rate is 10 percent, and Trump Financial Corporation charges 5 percent over prime to Marla Maple Sugar Company as its annual loan rate.
a. Determine the maximum loan for which Marla Maple Sugar Company could qualify.
b. Determine how much one month's interest expense would be on the loan balance determined in part a.

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Receivable Balance Average Age of the Account Outstanding $ 60,000 Account over the Last Year A 28 120,000 43 70,000 10 20,000 52 50,000 42 220,000 34 30,000 16 300,000 65 40,000 33 90,000 210,000 14 60,000 35