Help Please

Cheyenne Company has budgeted the following information for June: Cash receipts 271,000 Beginning cash balance 5,000 Cash payments 280,000 Desired ending cash balance 25,000 If there is a cash shortage, the company borrows money from the bank Al cash isborrowed at the beginning of the month in stooo increments and interest s paid monthly at to. 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 O $250 O $221