est Exam 3 Time Remaining 022310 Submit Test This Question 1

est: Exam 3 Time Remaining: 02:23.10 Submit Test This Question: 1 pt 5 of 33 (2 complete) This Test: 33 pts possible Brockman Company is preparing its cash budget for the upcoming month. The budgeted beginning cash balance is expected to be $35,000 Budgeted cash disbursements are $127,000, while budgeted cash receipts are $126,000. Brockman Company wants to have an ending cash balance of $50,000. How much would Brockman Company need to borrow to achieve its desired ending cash balance? te OA. $34,000 B. S16.000 OC 84,000 WE OD. $49,000 e cost n A is ce salary rtising k to

Solution

Actual ending cash balance = 35000+126000-127000= $34000 Amount to be borrowed = 50000-34000 = $16000 Option B is correct