3 Exercise 7-11A (Algo) Accounting for a line of credit LO 7-6 5 ponts Swipped Colson Company has a line of credit with Federal Bank Colson can borrow up to $319,500 at any time over the course of the 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 the year Colson agreed to pay interest at an annual rate equal to 200 percent above the bank's prime rate. Funds are borrowed or repaid on the first day of each month. Interestis payable in cash on the last day of the month. The interest rate is applied to the outstanding monthly balance. For example, Colson pays 6.25 percent (4.25 percent. 200 percent) annual interest on 584,500 for the month of January Amount Borrowed Plate for Month or (Repaid) the Math January $ 54,500 February 117,600 3.25 March (21,200) 3.25 April 31,900 4.25 co 00 PY Required a. Compute the amount of interest that Colson will pay on the line of credit for the first four months of the year b. Compute the amount of Colson's liability at the end of each of the first four months rences Complete this question by entering your answers in the tabs below Required Roured Compute the amount of interest that colion will on the line of credit for the first four months of the year (Round your answers to the nearest while on Interest Raid | January February March April KRA Required)