Travel Inn Express Spends $109,000 a Week to Pay Bills

Travel Inn Express spends $109,000 a week to pay bills and maintains a lower cash balance limit of $125,000.The standard deviation of the disbursements is $14,400.The applicable weekly interest rate is 0.039 percent and the fixed cost of transferring funds is $58.What is the inn's cash balance target based on the Miller-Orr model?

A) $28,492
B) $31,359
C) $153,492
D) $156,359
E) $225,417