Brarin Corporation is a small wholesaler of gourmet food products. Data regarding the store's operations follow: Sales are budgeted at $370,000 for November, $390,000 for December, and $390,000 for January. Collections are expected to be 80% in the month of sale, 17% in the month following the sale, and 3% uncollectible. The cost of goods sold is 70% of sales. The company would like to maintain ending merchandise inventories equal to 60% 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 $22,100. Monthly depreciation is $19,300. Ignore taxes. Balance Sheet October 31 Assets Cash $31,000 Accounts receivable, net of allowance for uncollectible accounts 79,000 Merchandise inventory 155,400 Property, plant and equipment, net of $607,000 accumulated 1,185,000 depreciation Total assets $1,450,400 Liabilities and Stockholders' Equity Accounts payable Common stock Retained earnings Total liabilities and stockholders' equity Expected cash collections in December are: $224,400 870,000 356,000 $1,450,400