Question
ABC Company has a cash balance of $9,000 on April 1. The company must maintain a minimum cash balance of $5,000. During April, expected cash
ABC Company has a cash balance of $9,000 on April 1. The company must maintain a minimum cash balance of $5,000. During April, expected cash receipts are $45,000. Expected cash disbursements during the month total $52,000. No loan is outstanding. What amount will the company need to borrow during April?
- $0.
- $4,000.
- $6,000.
- $3,000.
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College Accounting A Practical Approach
Authors: Jeffrey Slater, Mike Deschamps
14th Edition
0134729315, 978-0134729312
