The Following Information Was Reported in a Cash Budget How Much Cash Will the Company Have to Borrow in

question 38

Multiple Choice

The following information was reported in a cash budget: $\begin{array}{lr}\text { Beginning cash balance } & \$ 280,000 \\\text { Cash payments } & 533,000 \\\text { Cash receipts } & 370,000 \\\text { Minimum cash balance desired } & 200,000\end{array}$
How much cash will the company have to borrow in order to meet its required needs?

• A) $103,000
• B) $163,000
• C) $0
• D) $83,000

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Definitions:

Producer Surplus

The difference between the amount a producer is willing to accept for a good and the actual price they receive.

Tacos

A traditional Mexican dish consisting of a folded or rolled tortilla filled with various mixtures, such as beef, cheese, vegetables, and spices.

Producer Surplus

The difference between what producers are willing to accept for a good versus what they actually receive, measured above the supply curve.

Market Price

The existing price point at which an asset or service is traded in a designated market area.