ABC Company is considering to establish a line of credit with a local bank to make up for the cash deficit for the next three months. The company expects a 60% chance for a $279,346 deficit and a 40% chance for no deficit at all. The line of credit charges 0.89% of interest rate per month on the amount borrowed plus a commitment fee of $2,500 for a quarter. It also requires a 8% compensation balance for outstanding loans. The company also expects to reinvest any excess cash at an annual rate of 8%. What will the expected cost of establishing a line of credit be? Round your answer to the nearest dollar, and do not enter $ sign in your answer, e.g., x,xxx. (Hint: Refer to a numerical example in short-term financing choices.)