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

• Sales are budgeted at $250,000 for November, $230,000 for December, and $220,000 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 $23,100.
• Monthly depreciation is $14,100.
• Ignore taxes.

Balance Sheet October 31
Assets
Cash	$	22,100
Accounts receivable		72,100
Merchandise inventory		121,875
Property, plant and equipment, net of $574,100 accumulated depreciation		1,096,100
Total assets	$	1,312,175
Liabilities and Stockholders' Equity
Accounts payable	$	256,100
Common stock		822,100
Retained earnings		233,975
Total liabilities and stockholders' equity	$	1,312,175

Expected cash collections in December are:

Garrison 16e Rechecks 2017-10-03, 2018-07-24

Multiple Choice

• $230,000

• $138,000

• $238,000

• $100,000

Depasquale Corporation is working on its direct labor budget for the next two months. Each unit of output requires 0.51 direct labor-hours. The direct labor rate is $8.20 per direct labor-hour. The production budget calls for producing 5,100 units in May and 5,500 units in June. If the direct labor work force is fully adjusted to the total direct labor-hours needed each month, what would be the total combined direct labor cost for the two months?

Multiple Choice

• $21,328.20

• $22,164.60

• $44,329.20

• $23,001.00