Hearth and Home presently offers 30 day terms to its customers. If Hearth and Home changed its terms to 45 days, and as a result, all customers paid 15 days later than before, what would be the approximate effect on the company's borrowing needs in 20Y3?

A) borrowing needs would decrease by about $250,000

B) borrowing needs would increase by about $125,000

C) borrowing needs would increase by about $147,000

D) borrowing needs would increase by about $188,000

Hearth and Home Part B Hearth and Home Balance Sheets (in $000s) 20Y3 ASSETS Current assets Cash Accounts receivable Inventory Other current assets s 6 123 100 240 303 461 70 957 417 547 107 1.096 Total current assets 257 245 313 Fixed assets 107 71 71 Trademarks and goodwill 1.516 $ 1,285 1.190 TOTAL ASSETS LIABILITIES AND OWNERS' EQUITY Current liabilities Current portion-LTD Notes payable Accounts payable Accrued expenses Other current liabilities $ 67 67 67 101 244 69 46 527 148 5T 47 319 204 64 368 Total current liabilities 330 397 464 Long-term debt 18 389 1,285 $ 1,190 496 452 20 19 Other noncurrent liabilities 639 501 Owners' equity TOTAL LIABILITIES AND OWNERS' EQUITY$ 1,516 Working investment $ 610