Assignment I-ACC 201- Fall 2019... Question 1: Marks) (10 National Gas Corporation supplies acetylene and other compressed gases to industry. Data regarding the store's operations follow: Sales are budgeted at $330,000 for November, $300,000 for December, and $320,000 for January. .Collections are expected to be 85% in the month of sale, 14% in the month following the sale, and 1% uncollectible. The cost of goods sold is 60% of sales. .The company purchases 80% of its merchandise in the month prior to the month of sale and 20% in the month of sale. Payment for merchandise is made in the month following the purchase. Other monthly expenses to be paid in cash are $21,200. .Monthly depreciation is $21,000. . Ignore taxes. Statement of Financial Position October 31 Assets: Cash $ 22,000 Accounts receivable (net of allowance for uncollectible accounts) 83,000 Inventory 158,400 Property, plant and equipment (net of $594,000 accumulated depreciation) Total assets 1,004,000 $1.267,400 Liabilities and Stockholders' Equity: Accounts payable Common stock Retained earnings $ 196,000 620,000 451.400 $1.267,400 Total liabilities and stockholders' equity Required: Prepare a Schedule of Expected Cash Collections for November and December. b. Prepare a Merchandise Purchases Budget for Noveniber and December. e. Prepare Cash Budgets for November and December. & Prepare Budgeted Income Statements for November and December.