Western Company is preparing a cash budget for June. The company has $11,200 in cash at the beginning of June and anticipates $30,800 in cash receipts and $36,100 in cash payments during June. Western Company has an agreement with its bank to maintain a minimum cash balance of $10,000. As of May 31, the company has no loans outstanding. To maintain the $10,000 required balance, during June the company must:

Answer:during June balance  we need pay or borrow $4100Explanation:given data cash = $11200 cash receipts = $30800cash payments  = $36100minimum cash balance = $10000required balance =  $10000 to find out during June balance solutionso we find balance here asbalance = cash in beginning + cash receipts - cash paymentsput here all value balance = 11200 + 30800 - 36100 balance = $5900so here we know minimum cash balance require = $10000so here required balance = $10000 - $5900required balance = $4100so during June balance  we need pay or borrow $4100