Brarin Corporation is a small wholesaler of gourmet food products. Data regarding the store's operations follow: Sales are budgeted at $450,000 for November, $470,000 for December, and $470,000 for January. Collections are expected to be 80% in the month of sale, 18% in the month following the sale, and 2% uncollectible. 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 $22,900. Monthly depreciation is $20,100. Ignore taxes. Balance Sheet October 31 Assets Cash $39,000 Accounts receivable, net of allowance for uncollectible accounts 87,000 Merchandise inventory 219,375 Property, plant and equipment, net of $615,000 accumulated depreciation 1,225,000 Total assets $1,570,375 Liabilities and Stockholders' Equity Accounts payable $254,375 Common stock 950,000 Retained earnings 366,000 Total liabilities and stockholders' equity $1,570,375 The difference between cash receipts and cash disbursements in December would be:

Multiple Choice $148,350 $41,175 $16,000 $86,850