YellowCard Company manufactures accessories for iPods. It had the following selected transactions during 2014. (Note: For any part of this problem requiring an interest or discount rate, use 10%.)

		YellowCard provides a 2-year warranty on its docking stations, which it began selling in 2014. During 2014, YellowCard spent $6,000 servicing warranty claims. At year-end, YellowCard estimates that an additional $45,000 will be spent in the future to service warranties related to 2014 sales.
		YellowCard has a $200,000 loan outstanding from First Trust Corp. The loan is set to mature on February 28, 2015. For several years, First Trust has agreed to extend the loan, as long as YellowCard makes all its quarterly interest payments (interest is due on the last days of each February, May, August, and November) and maintains an acid-test ratio (also called