h. The company has an agreement with a local bank that allows the company to borrow in increments
of $1,000 at the beginning of each quarter, up to a total loan balance of $100,000. The interest rate on
these loans is 2.5% per quarter and for simplicity we will assume that interest is not compounded.
The company would, as far as it is able, repay the loan plus accumulated interest at the end of the year.