Weldon Industrial Gas Corporation supplies acetylene and other compressed gases to industry. data regarding the store's operations follow:

Sales are budgeted at $700,000 for November, $800,000 for December, and $650,000 for January. Collections are expected to be 65% in the month of sale, 30% in the month following the sale, and 5% uncollectible. The cost of goods sold is 60% of sales. The company desires an ending merchandise inventory equal to 35% 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 $40,000. Monthly depreciation is $20,000. Ignore taxes.

Required: Please show all formulas and calculations within the cells of your Excel file.

Prepare the following for November and December:

• Schedule of expected cash collections
• Merchandise purchases budget
• Schedule of expected cash disbursements for merchandise purchases
• Cash budget

Balance Sheet October 31 Assets Cash $16,000 Accounts receivable (net of allowance for uncollectible accounts) 74,000 Merchandise inventory Property, plant and equipment (net of $500,000 accumulated depreciation) 140,400 Total assets. 1,066,000 $1,296,400 Liabilities and Stockholders' Equity Accounts payable $240,000 Common stock 640,000 Retained eamings. Total liabilities and stockholders' equity $$1.296.400416,400