The following informationis drawn from royal industries cash budgetcash receipts 40,000beg, cash bal. 10,000cash payment 48,000desired ending cash cushion 5,000if there is a cash shortage, the company borrows money. if a surplus occurs funds are used to repay loans or ot invest in short-term assests. the company had no debt before january 1st. the amounted "needed" to borrow or the amount "available" for repayment of debt in januar would bea. 2000 availableb. 3,000 neededc. 7000 availabled 13,000 neededif there is a cash shortage, the company borrows money. if a surplus occurs funds are used to repay loans or to invest in short-term assests. all borrowing, repayments, and interest payments occur on the last day of themonth. the interest rate is 1% per month. the amount of interest expense incurred for january is: a. 20b. $30c. $50d. none of the aoveb. the amount of interest paid in february would bea. $50b. $300c. $500d. $30