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

question 42

Multiple Choice

The following information was reported in the cash budget:
$\begin{array}{lc}\text { Beginning cash balance } & \$ 28,000 \\\text { Cash disbursements } & 51,000 \\\text { Cash receipt } & 37,000 \\\text { Minimum cash balance required } & 20,000\end{array}$
How much cash will the company have to borrow in order to meet its required needs?

• A)$0
• B)$34,000
• C)$22,000
• D)$6,000

Grasp the implications of the Check 21 Act for banks and customers, including the handling of electronic checks.

Identify legal principles and bank policies on the handling of checks and stop-payment orders as illustrated through case law.

Understand the roles and responsibilities of banks and customers under the Electronic Funds Transfer Act.

Learn about different truncation processes and their significance in banking transactions.

---

Definitions:

Lawn Fertilizer Manufacturer

A company that produces chemical or organic substances to promote the growth and health of grass.

Job Order Cost System

A job order cost system is an accounting method that tracks costs and revenues by specific jobs and assigns costs to products based on the jobs.

Job Order Costing System

An accounting system used to accumulate costs associated with a specific batch or order of production, suitable for businesses producing custom or unique products.

Service Firms

Companies that provide intangible products or services to customers, rather than physical goods.