In September, MEE Company, a merchandising firm that sells one product, assembled the following information and estimates to prepare a budget for October. Expected sales are 45,000 units at a price of $40 per unit. The cost of merchandise purchases is expected to be $28 per unit. Selling and administrative expenses are estimated at $312.000, of which $22,000 is depreciation. The October 1 cash balance is expected to be $30,000. MEE estimates that 80% of each month's sales are collected in the month of sale and the remaining 20% is collected in the month after sale. Expected sales for September are $900,000. The company pays for 30% of its merchandise purchases during the month of purchase, and pays the remaining 70% during the month following purchase. Merchandise purchases for September are estimated to be $720,000 and the purchase cost per unit is $28. All other out-of-pocket expenses are paid for in cash. Read the requirements. Cost of goods sold Collections from September sales Gross margin Payments for September purchases Sales Selling and administrative expenses R September purchases Net income (loss) Requirements Requirements (a) MEE plans to purchase 34,000 units of merchandise in October. Prepare a cash budget or statement of estimated cash flows for October for the company. (b) Prepare a budgeted income statement (for external reporting purposes) for the month ended October 31 for MEE Company. Print Done (for external reporting purposes) for the month ended October 31 for MEE Company. (Use a parentheses or a minus sign for a net loss.)