TB Problem Qu. 8-224 Weller Industrial Gas Corporation.. Weller Industrial Gas Corporation supplies acetylene and other compressed gases to industry. Data regarding the store's operations follow: Sales are budgeted at $310,000 for November, $330,000 for December, and $320,000 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 77% of sales The company desires an ending merchandise inventory equal to 85% of the cost of goods sold in the following month. Payment for merchandise is made in the month following the purchase Other monthly expenses to be paid in cash are $20,500 Monthly depreciation is $20,300 . Ignore taxes. Balance Sheet October 31 Assets Cash Accounts receivable Merchandise inventory Property, plant and equipment (net of $589,000 accumulated depreciation) Total assets $ 21,300 82,300 202,895 999,000 $1,305,495 Liabilities and Stockholders' Equity Accounts payable Common stock Retained earningS $ 195,300 540,000 570,195 $1,305,495 Total liabilities and stockholders' equity