Answer:
A. $8,400.
Explanation:
The preliminary cash balance before loan activity is the net of the cash outflows and cash inflows added to the cash balance at the start of the period.
The outflows are negative as they reduce cash balance while the inflows are positive as they increase cash balance.
preliminary cash balance before loan activity
= $36,400 + $641,000 - $608,500 - $27,000 - $33,500
= $8,400