Beltre Corporation is a small wholesaler of gourmet food products. Data regarding the store's

operations follow:

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Sales are budgeted at $420,000 for August, $430,000 for September, and $440,000

for October.

-

Collections are expected to be 65% in the month of sale, 25% in the month following

the sale, and 10% uncollectible.

-

The cost of goods sold is 75% of sales.

-

The company would like to maintain ending merchandise inventory equal to 45% of

the next 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 $17,400.

The difference between cash receipts and cash disbursements for September would be:

a) $53,725

b) $48,725

c) $41,225

d) $66,125