Problem 8-21 Schedules of Expected Cash Collections and Disbursements [L08-2, LO8-4, LO8-8 budget for Ashton Company, a distributor of exercise equipment. The following information is available about the company's operations: a. The cash balance on December 1 is $51,000 b. Actual sales f or October and November and expected sales for December are as follows: October November December 68,200 81,600 90,600 Sales on account$510,000 $603,000 $636, 000 Cash sales Sales on account are collected over a three-month period as follows: 20% collected inthe month of sale, 60% collected in the month following sale, and 18% collected in the second month following sale. The remaining 2% is uncollectible c. Purchases of inventory will total $282,000 for December. Thirty percent of a month's inventory purchases are paid during the month of purchase. The accounts payable remaining from November's inventory purchases total $170,500, all of which will be paid in December d. Selling and administrative expenses are budgeted at $471,000 for December. Of this amount, $61,100 is for depreciation Prev 1of 2:11 Next > 3:33 PM 11/3/2017