A3+ Has Prepared Its 3rd Quarter Budget and Provided the Following

question 29

Multiple Choice

A3+ has prepared its 3rd quarter budget and provided the following data: The cash balance on June 30 is projected to be $4,000. The company has to maintain a minimum cash balance of $5,000 and is authorized to borrow at the end of each month to make up any shortfalls. It may borrow in increments of $5,000 and has to pay interest every month at an annual rate of 5%. All financing transactions are assumed to take place at the end of the month. The loan balance should be repaid in increments of $5,000 whenever there is surplus cash. How much will the company have to borrow at the end of July?

• A)$0
• B)$5,000
• C)$15,000
• D)$10,000

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Definitions:

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A legal philosophy aimed at ensuring fairness in judicial, administrative, and decision-making processes, including the right to a fair hearing.

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