Capes Corporation is a wholesaler of industrial goods Data regarding the store's operations follow Sales are budgeted at $380,000 for November, $390,000 for December, and $370,000 for January Collections are expected to be 50 in the month of sale and 50 in the month following the sale The cost of goods sold is 75 of sales The company desires an ending merchandise inventory equal to 30 of the cost of goods sold in the following month Payment for merchandise is made in the month following the purchase The November beginning balance in the accounts receivable account is $73,000 The November beginning balance in the accounts payable account is $260,000 Required a Prepare a Schedule of Expected Cash Collections for November and December b Prepare a Merchandise Purchases Budget for November and December Required A Required B Prepare a Schedule of Expected Cash Collections for November and December November December Sales Schedule of Expected Cash Collections Accounts receivable November sales December sales Total cash collections Required A Required B Required A Required B Prepare a Merchandise Purchases Budget for November and December November December Merchandise Purchases Budget Cost of goods sold Total needs Required purchases

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Capes Corporation is a wholesaler of industrial goods. Data regarding the store's operations follow: Sales are budgeted at $380,000 for November, $390,000 for December, and

Capes Corporation is a wholesaler of industrial goods. Data regarding the store's operations follow:

Sales are budgeted at $380,000 for November, $390,000 for December, and $370,000 for January.
Collections are expected to be 50% in the month of sale and 50% in the month following the sale.
The cost of goods sold is 75% of sales.
The company desires an ending merchandise inventory equal to 30% of the cost of goods sold in the following month. Payment for merchandise is made in the month following the purchase.
The November beginning balance in the accounts receivable account is $73,000.
The November beginning balance in the accounts payable account is $260,000.

Required:

a. Prepare a Schedule of Expected Cash Collections for November and December.

b. Prepare a Merchandise Purchases Budget for November and December.

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Required A Required B Prepare a Schedule of Expected Cash Collections for November and December. November December Sales Schedule of Expected Cash Collections Accounts receivable November sales December sales Total cash collections Required A Required B > Required A Required B Prepare a Merchandise Purchases Budget for November and December. November December Merchandise Purchases Budget Cost of goods sold Total needs Required purchases