Bookworm Publishers publishes books and they have gathered the following data for the month of October:

	Data
Cash on 8/1	$7,000
Expected Cash Collections	$350,000
Direct Materials Cash Disbursements	$62,000
Direct Labor Cash Disbursements	$45,000
MOH Cash Disbursements	$43,000
Operating Expenses Cash Disbursements	$85,000
Capital Expenditures Cash Disbursements	$125,000

Bookworm Publishers requires an ending cash balance of at least $5,000 and can borrow from a line of credit in $1,000 increments. How much cash does Bookworm Publishers need to borrow for October?

A.

$0

B.

$5,000

C.

$3,000

D.

$8,000