Dilly Farm Supply is located in a small town in the rural west, Data regarding the store's operations follow: Sales are budgeted at $30,000 for November, $323,000 for December, and $223,000 for January Collections are expected to be 70% in the month of sale and 30% in the month following the sale The cost of goods sold is 75% of sales The company desires to have an ending merchandise inventory at the end of each month equal to 80% 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 $22,400. Monthly depreciation is $27,500 Ignore taxes Balance Sheet October 31 Assets Canh Accounts receivable Merchandise inventory Property, plant and equipment, net of $624,000 accumulated depreciation Total assets Liabilities and stockholders' Equity Accounts payable Common stock Retained earnings Total liabilities and stockholders equity $ 33,000 83,500 181,800 918,000 $1,216,300 $ 252,000 753,000 211,300 1,216,300 Retained earnings of the end of December would be