administrative expenses that include $1,300 of depreciation per month. Other data: 1. Credit sales: November 2021, $325,000; December 2021, $416,000. 2. Purchases of direct materials: December 2021, $130,000. 3. Other receipts: January-Collection of December 31,2021 , notes receivable $19,500; February-Proceeds from sale of securities $7,800. 4. Other disbursements: February-Payment of $7,800 cash dividend. The company's cash balance on January 1,2022 , is expected to be $78,000. The company wants to maintain a minimum cash balance of $65,000. Expected Payments for Direct Materials