At the Beginning of the Year,you Have an Outstanding Short-Term

Multiple Choice

At the beginning of the year,you have an outstanding short-term loan of $10 which was used to cover your cash needs for the previous year. During the current year,you expect to pay $2 interest and have an annual net cash inflow of -$10 (negative) ,excluding the interest payment. What is your anticipated loan balance at year end?

A) $0
B) $2
C) $12
D) $18
E) $22