The Following Information Was Taken from Southgate Industry's Cash Budget

Multiple Choice

The following information was taken from Southgate Industry's cash budget for the month of July: $$\begin{array} { l r } \text { Beginning cash balance } & \$ 480,000 \\\text { Cash receipts } & 304,000 \\\text { Cash disbursements } & 544,000\end{array}$$ If the company has a policy of maintaining a minimum end of the month cash balance of $400,000, the amount the company would have to borrow is

A) $160,000.
B) $80,000.
C) $240,000.
D) $96,000.