Lizs Health Food Store has estimated monthly financing requirements for the next six months as follows:

January	$8,000	April	$8,000
February	2,000	May	9,000
March	3,000	June	4,000

Short-term financing will be utilized for the next six months. Projected annual interest rates are:

January	8.0%	April	15.0%
February	9.0%	May	12.0%
March	12.0%	June	12.0%

a.	Compute total dollar interest payments for the six months. To convert an annual rate to a monthly rate, divide by 12.(Round the final answer to 2 decimal places.)

Total dollar interest payments

$?

b-1.	Compute the total dollar interest payments if long-term financing at 12 percent had been utilized throughout the six months. Assume a long term rate is locked in on an interest only loan.

Total dollar interest payments

$?