Cheyenne Company has budgeted the following Information for June: Cash receipts Cash payments $331,000 Beginning cash balance 20,000 Desired ending cash balance 370,000 40,000 If there is a cash shortage, the company borrows money from the bank. All cash is borrowed at the beginning of the month in $1,000 increments, and Interest is paid monthly at 1% on the first day of the following month. The company had no debt before June 1. The amount of interest paid on July 1 would be: Multiple Choice