Problem - Bookworm Publishers publishes books and they have gathered the following data for the month of October:
Data
Cash on 8/1 $6,000
Expected Cash Collections $354,000
Direct Materials Cash Disbursements $64,000
Direct Labor Cash Disbursements $51,000
MOH Cash Disbursements $41,000
Operating Expenses Cash Disbursements $85,000
Capital Expenditures Cash Disbursements $130,000
Bookworm Publishers requires an ending cash balance of at least? $5,000 and can borrow from a line of credit in? $1,000 increments. What is the ending cash balance for? October?
A. ?$5,000
B. $11,000
C. $27,000
D. $16,000