Part 1 10 marks The manager of Honey Bee Inn is updating their budget for the upcoming two months, November and December. The following information is available: The following balances are expected for the end of this month (31 October): cash $140,000; accounts receivable $220,000, accounts payable $80,000 and unpaid expenses $15,000. The manager expects 90% of the amount outstanding from customers at the end of this month to be collected in October and the remainder uncollectable. 60% of monthly sales are on credit. Receipts from credit customers are normally 50% in the month of sale, 48% in the month following the sale, and the remainder is considered uncollectable. Projected balances for the next two months are as follows: October November Sales revenue 370,000 374,000 Purchases 128,000 130,000 Other expenses 25,000 26,000 Salaries 60,000 60,000 Depreciation 10,000 10,000 . Honey Bee Inn has placed an order for new furniture in November that will cost $40,000. The scheduled payment date is in January next year. 40% of goods purchased are paid for in the month of purchase and the remaining is paid in the following month. Salaries are paid before the end of each month. 50% of other monthly expenses are paid for in the month incurred and the remainder paid in the following month.