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

	Sales are budgeted at $360,000 for November, $370,000 for December, and $370,000 for January.
	Collections are expected to be 85% in the month of sale, 14% in the month following the sale, and 1% uncollectible.
	The cost of goods sold is 60% of sales.
	The company would like to maintain ending merchandise inventories equal to 50% 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 $20,600.
	Monthly depreciation is $17,800.
	Ignore taxes.

Balance Sheet
October 31
Assets
Cash	$52,000
Accounts receivable, net of allowance for uncollectible accounts	100,000
Merchandise inventory	108,000
Property, plant and equipment, net of $628,000 accumulated depreciation	1,290,000
Total assets	$1,550,000
Liabilities and Stockholders' Equity
Accounts payable	$287,750
Common stock	880,000
Retained earnings	382,250
Total liabilities and stockholders' equity	$1,550,000

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

$64,950

$157,500

$125,300

$7,000