Carpon Lumber sells lumber and general building supplies to building contractors in a medium-sized town in Montana. Data regarding the store's operations follow: Sales are budgeted at $340,000 for November, $350,000 for December, and $370,000 for January. Collections are the sale, and 1% uncollectible. The cost of goods sold is 75% of sales. The company desires to have an ending merchandise inventory equal to 60% 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 $21,100. Monthly depreciation is $19,000 lgnore taxes. expected to be 55% in the month of sale, 44% in the month following Statement of Financial Position October 31 Assets Cash $13,000 Accounts receivable (net of allowance for uncollectible accounts) 82,000 Inventory... Propcrty, plant and cquipment (net of $598,000 accumulated depreciation). Total assets 153,000 1,138,000 $1,386,000 Liabilities and Stockholders' Equity Accounts payable Common stock..... Retained earnings. 257,000 600,000 529,000 Total liabilities and stockholders' equity $1,386,000 The cash balance at the end of December would be $13,000 $52,400 $65,400 $74,500 Accounts payable at the end of December would be: $271,500 $105,000 $166,500 $262,500 OOO0 The net income for December would be: $66,400 $43,900 $47,400 $61,500