Frasier Company must maintain a minimum cash balance of $32,000. At the beginning of July the company's cash balance was $40,000. The budget for July is as follows:

Total cash receipts $250,000

Total cash disbursements $245,000

Net income $50,000

Purchase machinery by signing a promissory note $35,000

How much will Frasier Company need to borrow during July?

a. $4,000

b. $35,000

c. None

d.$50,000