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Handy Hardware is a retall hardware store. Information about the store's operations follows. November 20x1 sales amounted to $460,000. Sales are budgeted at $500,000 for

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Handy Hardware is a retall hardware store. Information about the store's operations follows. November 20x1 sales amounted to $460,000. Sales are budgeted at $500,000 for December 20x1 and $460,000 for January 20x2. . Collections are expected to be 60 percent in the month of sale and 38 percent in the month following the sale. Two percent of sales are expected to be uncollectible. Bad debts expense is recognized monthly The store's gross margin is 30 percent of its sales revenue A total of 90 percent of the merchandise for resale is purchased in the month prior to the month of sale, and 10 percent is purchased in the month of sale. Payment for merchandise is made in the month following the purchase Other monthly expenses paid in cash amount to $45,800. Annual depreciation is $450,000 The company's balance sheet as of November 30, 20x1, is as follows: HANDY HARDWARE, INC Balance Sheet November 30, 20x1 Assets Cash $ 50,000 Accounts receivable (net of $7,600 allowance for uncollectible accounts) 158,00 Inventory 340,000 Property, plant, and equipment (net of $1,240,000 accumulated depreciation) 1.784,000 Total assets $2,332,600 Liabilities and Stockholders' Equity Accounts payable $ 347,200 Connon stock 1,650,000 Retained earnings 334,800 Total liabilities and owner's equity $2.332,000 Required: 1. Compute the budgeted cash collections for December 20x1. 2. Compute the budgeted income (loss) before income taxes for December 20x1. 3. Compute the projected balance in accounts payable on December 31, 20x1. Complete this question by entering your answers in the tabs below. ces Required 1 Required 2 Required 3 Compute the budgeted cash collections for December 20x1. Budgeted cash collections 2. Compute the budgeted income (loss) before income taxes for December 20x1. 3. Compute the projected balance in accounts payable on December 31, 20x1. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute the budgeted income (loss) before income taxes for December 20x1. Budgeted before taxes Required: 1. Compute the budgeted cash collections for December 20x1. 2. Compute the budgeted income (loss) before income taxes for December 20x1. 3. Compute the projected balance in accounts payable on December 31, 20x1. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute the projected balance in accounts payable on December 31, 20x1. Accounts payable

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