The following information is from Barkleys Auto Alarm Company financial records. Collections from customers are normally 70 percent in the month of sale, 20 percent in the month following the sale, and 9 percent in the second month following the sale. The balance is expected to be uncollectible. All purchases are on account. Management takes full advantage of the 2 percent discount allowed on purchases paid for by the tenth of the following month. Purchases for December are budgeted at $69,000, and sales for December are forecasted at $75,000. Cash disbursements for expenses are expected to be $16,200 for the month of December. The companys cash balance on December 1 was $26,500.

Month	Sales				Purchases
August	$	81,000			$	51,000
September		75,000				57,000
October		69,000				45,000
November		87,000				63,000

Required:

Prepare the expected cash collections during December.

Prepare the expected cash disbursements during December.

Prepare the expected cash balance on December 31.