Required Information The following companied below kamby Corporation is a merchandising company that is preparing a master budget for the third quarter of the calendar year. The company's balance sheet as of June 30th is shown below. Harby Corporation Balance Sheet June 30 Assets Cash $ 84,00 Accounts receivable 144,90 Inventory 63,758 Plant and equipment, net of 223,800 depreciation Total assets $514,750 Liabilities and Stockholders' Equity Accounts payable $ 84,800 Conton stock 349, Boe Retained earnings 81,750 Total liabilities and $514,750 stockholders' equity The compery managers have made the following additional assumptions and esamates: 1. Estimated sales for July August, September, and October will be $340,000, $360,000 $350,000, and $370.000, respectively 2. All sales are on Credit and all credit sales are collected. Each month's credit sales are colected 35% in the month of sale and 65%, in the month following the sale. All of the accounts receivable at June 30 will be collected in July 3. Each month's ending invertory muszqual 25% of the cast af nex, manth's sales. The cost of goods sold is 75% of sales. The company pays for 40% of its merchandise purchases in the month of the purchase and the remaining 50% in the month flowing the purchase. All of the accounts payable at June 30 will be said in July 4. Monthly selling and Acministrative experies are always $44,000. Each month $6.000 af this total amount is depreciation expense and the remaining $38,000 relaces to expenses that are paid in the month they are incurred 5. The camery does not plan to be money or pay or declare dividends during the quarter ended September 30 The Colores reglene any common skok or repurchase its can stock during the quarter ended September 30 How much is the Company's expected cash collections in the month of August Multiple Choice $126.000 o S221000 0 S234,000 0 5343,000