Complete the cash budget below. Managers have set the minimum cash balance at $10,000. The monthly interest rate on short term borrowing is 1%. Assume the firm will repay s-t loans if it has extra cash balances.

Jan. Feb. March

Net monthly change -18,000 -30,000 25,000

Beginning cash balance 20,000 10,000 ______

Ending cash balance

Before s-t borrowing 2,000 -20,000 ______

Interest on previous

s-t borrowing 0 ______ ______

Financing needed 8,000 _______ ______

Ending cash balance 10,000 10,000 10,000

Cumulative borrowing 8,000 ______ ______