Sales are budgeted at $369,000 for November, $339,000 for December, and $319,000 for January Collections are expected to be 80% in the month of sale and 20%in the month following the sale. " The cost of goods sold is 70% of sales. . The company desires to have an ending merchandise inventory equal to 70% ofthe following month's cost of goods sold Payment for merchandise is made in the month following the purchase. Other monthly expenses to be paid in cash are $26,600. Monthly depreciation is $19,800. Ignore taxes Balance Sheet october 31 Assets Cash Accounts receivable Inventory Property, plant and equipment, net of $ 24,700 80,800 167,ee0 1,021,000 $511,5e0 accusulated depreciation Total assets $1,293,5e0 Liabilities and Stokholders Equity Accounts payable Conmon stock Retained earnings s 281, see 799,8e0 213,609 Total liabilities and stockholders equity $1,293,500 The net income for December would be