Weller Industrial Gas Corporation supplies acetylene and other compressed gases to industry. Data regarding the store's operations follow: Sales are budgeted at $340,000 for November, $360,000 for December, and $350,000 for January. Collections are expected to be 75% in the month of sale and 25% in the month following the sale. The cost of goods sold is 80% of sales. The company desires an ending merchandise inventory equal to 75% 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 $20,200. Monthly depreciation is $20,000. Ignore taxes. Balance Sheet October 31 Assets Cash $ 21,000 Accounts receivable 82,000 Merchandise inventory 204,000 Property, plant and equipment (net of $586,000 accumulated depreciation) 996,000 Total assets $ 1,303,000 Liabilities and Stockholders' Equity Accounts payable $ 195,000 Common stock 510,000 Retained earnings 598,000 Total liabilities and stockholders' equity $ 1,303,000

Required:

Prepare a Schedule of Expected Cash Collections for November and December.

Prepare a Merchandise Purchases Budget for November and December.

Prepare Cash Budgets for November and December.

Prepare Budgeted Income Statements for November and December.

Prepare a Budgeted Balance Sheet for the end of December.