Bramble Corporation is a small wholesaler of gourmet food products. Data regarding the store's operations follow:

• Sales are budgeted at $380,000 for November, $360,000 for December, and $350,000 for January.
• Collections are expected to be 60% in the month of sale and 40% in the month following the sale.
• The cost of goods sold is 75% of sales.
• The company would like to maintain ending merchandise inventories equal to 65% 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 $24,400.
• Monthly depreciation is $15,400.
• Ignore taxes.

Balance Sheet October 31
Assets
Cash	$	20,400
Accounts receivable		70,400
Merchandise inventory		185,250
Property, plant and equipment, net of $572,400 accumulated depreciation		1,094,400
Total assets	$	1,370,450
Liabilities and Stockholders' Equity
Accounts payable	$	254,400
Common stock		820,400
Retained earnings		295,650
Total liabilities and stockholders' equity	$	1,370,450

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

Multiple Choice

• $38,475

• $68,350

• $112,600

• $51,263