Himalayan Fishing is a retailer that is preparing its budget for the upcoming first quarter. Management has prepared the following summary of its budgeted cash flows:
		1st Quarter
	Total cash receipts	$ 290,000
	Total cash disbursements	$ 150,000
The companys beginning cash balance for the upcoming first quarter will be $10,000. The company requires a minimum cash balance of $160,000 and may borrow any amount needed from a local bank at a quarterly interest rate of 5%. Using cash budget for the upcoming first quarter and without considering any interest payments, what is the amount the company needs to borrow in the first quarter to maintain its minimum cash balance?

Himalayan Fishing is a retailer that is preparing its budget for the upcoming first quarter. Management has prepared the following summary of its budgeted cash flows:
		1st Quarter
	Total cash receipts	$ 290,000
	Total cash disbursements	$ 150,000
The companys beginning cash balance for the upcoming first quarter will be $10,000. The company requires a minimum cash balance of $160,000 and may borrow any amount needed from a local bank at a quarterly interest rate of 5%. Using cash budget for the upcoming first quarter and without considering any interest payments, what is the amount the company needs to borrow in the first quarter to maintain its minimum cash balance?

$0

$10,000

$150,000

$160,000