The cash balance on June 30 is projected to be $4000. 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 4%. 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. Calculate the ending projected cash balance before financing for August.

Carol's Chocolate Company has prepared its third quarter budget and provided the following data:



A) $7167

B) $5,000

C) $46,700

D) $(7833)


D) $(7833)

Business

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