Bustillo Incorporated is working on its cash budget for March. The budgeted beginning cash balance is $35,000. Budgeted cash receipts total $142,000 and budgeted cash disbursements total $151,000. The desired ending cash balance is $30,000. To attain its desired ending cash balance for March, the company needs to borrow:

A) $0
B) $4,000
C) $56,000
D) $30,000

Budgeted Cash Balance

An estimated amount of cash a company expects to have on hand at the end of a specified period, based on anticipated inflows and outflows.

Cash Receipts

Cash receipts are the collection of money, including currency, checks, and electronic transfers, received by a business.

Cash Disbursements

Payments a company makes in cash, covering operational expenses, purchases, or investments.