Exercise $10-5$A $($Algo$)$ Calculations for a line of credit LO $10-2$

Colson Company has a line of credit with Federal Bank. Colson can borrow up to $$307,500$ at any time over the course of the Year $1$ calendar year. The following table shows the prime rate expressed as an annual percentage, along with the amounts borrowed and repaid during the first four months of Year $1.$ Colson agreed to pay interest at an annual rate equal to $3\mathrm{.}00$ percent above the bank's prime rate. Funds are borrowed or repaid on the first day of each month: Interest is payable in cash on the last day of the month. The interest rate is applied to the outstanding monthly balance. For example, Colson pays $7\mathrm{.}50$ percent $(4\mathrm{.}50$ percent $+3\mathrm{.}00$ percent$)$ annual interest on $$80,800$ for the month of January.

$\backslash$table$[[$Month$,\backslash$table$[[$Amount Borrowed$],[$or $($Repaid$)]],\backslash$table$[[$Prime Rate$],[$for the$],[$Month$]]],[$January$,$$$80,800,4\mathrm{.}50\%$