2. (12 points) Weldon Industrial Gas Corporation supplies acetylene and other compressed gases to industry. Data regarding the store's operations follow: The company sells each unit for $45. Budgeted Sales Month October November December Janua Sales in Units 30,000 25,000 40,00030,000 Collections are expected to be 70% in the month of sale, 30% in the month following the sale. The A/R balance at September 30th will be collected in full in October .The cost of the merchandise is S32 per unit. . In addition to meeting the current month's sales demand, management wants to maintain and ending inventory balance of 10% of the next month's sales. The ending inventory balance at September 30th is 2,625 units. Payment for merchandise is made as follows: paid in the month of the purchase, paid the month following the purchase. The A/P balance at September 30th will be paid in full in October Other monthly expenses to be paid in cash are $300,000. . Balance Sheet September 30 Assets Cash Accounts receivable .. Inventory. Property, plant and equipment s 16,000 250,000 84,000 (net of $500,000 accumulated depreciation)980 400 Total assets.... $1330,400 Liabilities and Stockholders' Equity Accounts payabele. Common stock Retained earnings ...448,400 Total liabilities and stockholders' equity 42,000 .840,000 $1,330,400 Required a. Prepare a Sales Budget for October, November and December. b. Prepare a Schedule of Expected Cash Collections for October, November and c. Prepare a Merchandise Purchases Budget for October, November and d. Prepare a Schedule of Expected Cash Disbursements for October, November e. Prepare Cash Budgets for October, November and December December December and December