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

	Sales are budgeted at $450,000 for November, $460,000 for December, and $440,000 for January.
	Collections are expected to be 50% in the month of sale, 48% in the month following the sale, and 2% uncollectible.
	The cost of goods sold is 75% of sales.
	The company desires an ending merchandise inventory equal to 30% of the following month's cost of goods sold. Payment for merchandise is made in the month following the purchase.
	The November beginning balance in the accounts receivable account is $80,000.
	The November beginning balance in the accounts payable account is $267,000.

Required:

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

b.	Prepare a Merchandise Purchases Budget for November and December. (Input all amounts as positive values.)