A Corporation supplies acetylene and other compressed gases to industry Data regarding the store's operations follow: Sales are budgeted at $320,000 for November, $340,000 for December, and $330,000 for January Collections are expected to be 75% in the month of sale, 20% in the month following the sale, and 5% uncollectible. - The cost of foods sold is 65% of sales The company desires ending merchandise inventory to cqual 80% of the following month's cost of goods sold. Payment for merchandise is made in the month following the purchase Other monthly expenses to be paid in cash are 521.000 Monthly depreciation is $16,000. Ignore taxes Statement of Financial Position October 31 Ant Accounts receivable het of once for uncollectible account) Merchandienetary Treperty, plant and equipment of $68,000 accumulated deportation) Total $23.000 2.000 166.00 1.170.00 $1,440.00 List and Stockholders Equity Accounts payable Cestock Reaning Total liabilities and stockholdersuit $199.00 40.00 101.00 The Schedule of Expected Cash Collections for November and December Never $320,000 The 1320,000 Sales Schedule of Expected Chestions The Merchandise The Schedule of Expected Cash Collections for November and December. Sales November December $320,000 $340,000 The Merchandise Schedule of Expected Cash Collections Accounts receivable November sales.............. December sales Total cash collections $82,000 240,000 $64,000 255,000 $319,000 $322,000 Purchases Budget for November and December b. Budgeted cost of goods sold Add desired ending merchandising Inventory... Total needs Less beginning merchandise inventory. Required purchases The Cash Budget for November & December November $208,000 176,800 384,800 166,400 $218.400 December $221,000 171.600 392,600 176,800 $215,800 c. Cash disbursements for merchandise Other monthly cash expenses Total cash disbursements November December $199,000 $218.400 21,000 21,000 $220,000 $239,400 Cash balance, beginning Add cash receipts Total cash available. Less cash disbursements: Excess (deficiency) of cash available over disbursements Financing Cash balance, ending. $ 22,000 322,000 344,000 220,000 124,000 0 $124,000 $124,000 319,000 443,000 239,400 203.600 0 $203,600 1. Prepare Budgeted Income Statements for November and December. 2. Prepare a Budgeted Balance Sheet for the end of December