Bracken Corporation is a small wholesaler of gourmet food products. Data regarding the store's operations follow: Sales are budgeted at $380,000 for November, $400,000 for December, and $400,000 for January Collections are expected to be 80% In the month of sale, 19% In the month following the sale, and 1% uncollectible. The cost of goods sold Is 75% of sales. The company would like to maintain ending merchandise Inventories equal to 65% of the next 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 $22,200. Monthly depreciation is $19,400. . Ignore taxes. Balance Sheet October 31 Assets Cash Accounts receivable, net of allowance for uncollectible accounts Merchandise Inventory Property, plant and equipment, net of $608,000 accumulated depreciation Total assets $32,000 80,000 185,250 1,190,000 $1,487,250 Llabilities and Stockholders' Equity Accounts payable Common stock Retained earnings Total liabilities and stockholders' equity $250,000 880,000 357,250 $1,487,250 December cash disbursements for merchandise purchases would be: O $300,000 O $195,000 O $275,250 $294,750