On February 10 2021, after issuance of its financial statements for 2020, Higgins Company entered into a financing agreement with Cleveland Bank, allowing Higgins Company to borrow up to 8,000,000 at any time through 2023. Amounts borrowed under the agreement bear interest at 2% above bank's prime interest rate and mature two years from the date of loan. Higgins Company presently has $3,000,000 of notes payable with Star National Bank maturing March 15 2021. The company intends to borrow $5,000,000 under the agreement with Cleveland and liquidate the notes payablr to Star National Bank. The agreement with Cleveland also requires Higgins to maintain a working capital level of 12,000,000 and prohibits the payment of dividends on commom stock without prior approval by Cleveland Bank. From the above information only, the total short-term debt of Higgins Company as of December 31 2020 balance sheet date is

A) 0

B) 3,000,000

C) 4,000,000

D) 8,000,000