Opinion ID: 2074942
Heading Depth: 1
Heading Rank: 9

Heading: Proceeds From Sales of the South Dakota Cattle.

Text: In 1979, when Churchills bought 200 cows in South Dakota, Phyllis Churchill had an overline account with FNB. At various times in 1980, the Churchills sold some of the South Dakota cattle. Phyllis Churchill used the proceeds from those sales to pay her debts to the Bank of Stapleton and FNB. On March 3, 1980, the Bank of Stapleton received $80,686.80 from Phyllis Churchill, as payment of principal and interest on her underline account. Of the March 3 payment, $77,884.42 was traceable to proceeds from sales of the South Dakota cattle purchased by Churchills. Also, on March 3, 1980, Phyllis Churchill paid $5,297 on principal and interest in her overline loan from FNB, which funds were traceable to proceeds from sales of the South Dakota cattle. On October 27, 1980, Phyllis Churchill paid an additional $53,955.48 on principal and interest in her overline account. Of the $53,955.48 paid on October 27, $24,067.97 was traceable to sale proceeds from the South Dakota cattle. Therefore, as a result of the March and October 1980 payments by Phyllis Churchill, FNB received $29,364.97 in payment of principal and interest on Phyllis Churchill's overline account with FNB. The balance of Phyllis Churchill's overline account with FNB, after her payment on October 27, 1980, was zero. However, Phyllis Churchill continued to borrow through her overline account and received additional funds, with an account balance of $44,500 as of March 20, 1981.