Problem 8-21 Schedules of Expected Cash Collections and Disbursements [LO8-2, LO8-4, LO8-8] You have been asked to prepare a December cash 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 $50,800. b. Actual sales for October and November and expected sales for December are as follows: Cash sales Sales on account October November December $ 77,800 $ 83,400 $ 99,800 $ 475,000 $ 558,000 622,000 Sales on account are collected over a three-month period as follows: 20% collected in the 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 $375,000 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 $206,500, d. Selling and administrative expenses are budgeted at $448,000 for December. Of this amount, $97,200 is for e. A new web server for the Marketing Department costing $80,000 will be purchased for cash during December, and f. The company maintains a minimum cash balance of $20,000. An open line of credit is available from the company's all of which will be paid in December. depreciation dividends totaling $14,500 will be paid during the month