Yowell Company began operations on January 1, Year 1. During Year 1, the company engaged in the following cash transactions:

1) issued stock for $54,000

2) borrowed $32,000 from its bank

3) provided consulting services for $52,000 cash

4) paid back $22,000 of the bank loan

5) paid rent expense for $12,500

6) purchased equipment for $19,000 cash

7) paid $3,700 dividends to stockholders

8) paid employees' salaries of $28,000

What is Yowell's notes payable balance at the end of Year 1?

Multiple Choice

a. $22,000

b $10,000

c $32,000

d $0