Brarin Corporation is a small wholesaler of gourmet food products. Data regarding the store's operations follow: Sales are budgeted at $300,000 for November, $310,000 for December, and $310,000 for January . Collections are expected to be 70% in the month of sale, 29% in the month following the sale, and 1% uncollectible. The cost of goods sold is 65% of sales. The company would like to maintain ending merchandise inventories equal to 55% 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 $21,500. Monthly depreciation is $18,700. Ignore taxes. Balance Sheet October 31 Assets Cash $43,000 Accounts receivable, net of allowance for uncollectible accounts 91,000 Merchandise inventory 107,250 Property, plant and equipment, net of $619,000 accumulated 1,245,000 depreciation Total assets $1,486,250 Liabilities and Stockholders' Equity Accounts payable Common stock Retained earnings Total liabilities and stockholders' equity $125,250 990,000 371,000 $1,486,250 December cash disbursements for merchandise purchases would be: Multiple Choice $198,575 $110,825 $191,425 $201,500