Use the following information from an account analysis statement to answer the following questions

collected balance $500,000

service charges $5,000

reserve requirement ratio of 10 percent

Days in month = 30 days

Earnings credit rate = 0.60 percent

"a.Calculate the monthly earnings credit allowance and the net service charges.

b.Solve for the collected balances required and interpret the value.

c.Suppose that the earnings credit rate is re-negotiated upward to 0.75 percent. Recalculate the earnings credit allowance, net service charge, and collected balance required."