Assume the following budgeted information for a merchandising company: - Budgeted sales (all on credit) for November, December, and January are $247,000,$217,000, and $208,000, respectively. - Cash collections related to credit sales are expected to be 75% in the month of sale, 25% in the month following the sale. - The cost of goods sold is 65% of sales. - Each month's ending inventory equals 15% of next month's cost of goods sold. - 40% of each month's merchandise purchases are paid in the current month and the remainder is paid in the following month. - Monthly selling and administrative expenses that are paid in cash in the month incurred total $24,500. - Monthly depreciation expense is $8,500. The budgeted net operating income for December would be: Multiple Choice $42,950 $33,493 $24,993 $51,450