Zero-balance account Union Company is suggesting establishment of zero-balance account. The firm currently maintains the average balance of $420,000 in its disbursement account. As compensation to bank for maintaining the zero balance account, the firm will have to pay the monthly fee of $1,000 and maintain the $3000, 000 non-interest-earnings deposit in the bank. The firm currently has no other deposit in the bank. Measure the proposed zero-balance account, and make a recommendation to the firm, assuming that it has a 12% opportunity cost.