During December, the capital budget indicates a $280,000 purchase of equipment.The ending November cash balance is budgeted to be $40,000.Cash receipts are $840,000, and cash disbursements are $610,000 during December.The company wants to maintain a minimum cash balance of $20,000.What is the minimum cash loan that must be planned to be borrowed from the Bank during December?

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The minimum cash loan that must be planned to be borrowed from the Bank during December is $30,000. This is calculated as follows:Beginning cash balance + Cash receipts - Cash disbursements - Minimum cash balance = Minimum cash loan$40,000 + $840,000 - $610,000 - $20,000 = $30,000

During December, the Capital Budget Indicates a $280,000 Purchase of Equipment.The