Verle,IncHas a Cash Balance of $20,000 on April 1 There Are No Budgeted Capital Expenditures or Financing Transactions During

Verle,Inc.has a cash balance of $20,000 on April 1.The company is now preparing the cash budget for the second quarter.Budgeted cash collections and payments are as follows: $$\begin{array} { | l | r | r | r | } \hline & \text { Apr } & \text { May } & \text { Jun } \\\hline \text { Cash collections } & \$ 25,000 & \$ 24,000 & \$ 25,000 \\\hline \text { Cash payments: } & & & \\\hline \text { Purchases of direct materials } & 5800 & 5800 & 7000 \\\hline \text { Operating expenses } & 3500 & 5000 & 5300 \\\hline\end{array}$$ There are no budgeted capital expenditures or financing transactions during the quarter.Based on the above data,calculate the projected cash balance at the end of May.

A) $24,000
B) $59,700
C) $53,900
D) $48,900