In the month of August, a firm had total cash receipts of 10,000, total cash disbursements of 8,000, depreciation expense of 1,000, a minimum cash balance of 3,000, and a beginning cash balance of 500. The excess cash balance (required financing) for August is

Select one:

a.

required total financing of 500.

b.

excess cash balance of 5,500.

c.

excess cash balance of 500.

d.

required total financing of 2,500.