Welnor 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, 16% in the month following the sale, and 4% uncollectible.
	The cost of goods sold is 77% of sales.
	The company desires ending merchandise inventory to equal 85% of the following 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 $20,300.
	Monthly depreciation is $15,300.
	Ignore taxes.

Balance Sheet October 31
Assets
Cash	$	21,300
Accounts receivable (net of allowance for uncollectible accounts)		81,300
Merchandise Inventory		202,895
Property, plant and equipment (net of $653,000 accumulated depreciation)		1,170,000
Total assets	$	1,475,495
Liabilities and Stockholders Equity
Accounts payable	$	198,300
Common stock		760,000
Retained earnings		517,195
Total liabilities and stockholders equity	$	1,475,495

Required:

a.	Prepare a Schedule of Expected Cash Collections for November and December. (Omit the "$" sign in your response.)

Welnor Industrial Gas Corporation Schedule of Expected Cash Collections
	November	December
Sales	$	$
Schedule of Expected Cash Collections
Accounts receivable	$
November sales		$
December sales
Total cash collections	$	$

b.	Prepare a Merchandise Purchases Budget for November and December. (Input all amounts as positive values. Do not round intermediate calculations. Omit the "$" sign in your response.)

Welnor Industrial Gas Corporation Merchandise Purchases Budget
	November	December
Budgeted cost of goods sold	$	$
(Click to select)DeductAdd: (Click to select)Desired ending merchandising inventoryBeginning merchandise inventory
Total needs
(Click to select)DeductAdd: (Click to select)Desired ending merchandising inventoryBeginning merchandise inventory
Required purchase	$	$

c.	Prepare Cash Budgets for November and December. (Leave no cells blank - be certain to enter "0" wherever required. Input all amounts as positive values. Omit the "$" sign in your response.)

Welnor Industrial Gas Corporation Cash Budget
	November	December
Cash disbursements for merchandise	$	$
Other monthly cash expenses
Total cash disbursements	$	$
Cash balance, beginning	$	$
Add cash receipts
Total cash available
Less cash disbursement
Excess (deficiency) of cash available over disbursements
Financing
Cash balance, ending	$	$

d.	Prepare Budgeted Income Statements for November and December. (Input all amounts as positive values. Omit the "$" sign in your response.)

Welnor Industrial Gas Corporation Budgeted Income Statement
	November	December
(Click to select)Net operating incomeDepreciationSalesGross marginOther monthly expensesCost of goods soldBad debt expense	$	$
(Click to select)Gross marginOther monthly expensesDepreciationSalesCost of goods soldAccounts payableNet operating income
(Click to select)Gross marginCost of goods soldAccounts payableOther monthly expensesSalesNet operating incomeDepreciation
(Click to select)Accounts receivableGross marginBad debt expenseAccounts payableCashNet operating incomeInventorySalesCost of goods sold
(Click to select)Gross marginSalesAccounts receivableAccounts payableCashOther monthly expensesInventoryCost of goods soldOther monthly expensesNet operating income
(Click to select)SalesInventoryCost of goods soldNet operating incomeGross marginDepreciationCashAccounts payableAccounts receivable
(Click to select)Cost of goods soldOther monthly expensesBad debt expenseSalesDepreciationGross marginNet operating income	$	$

e.	Prepare a Budgeted Balance Sheet for the end of December. (Be sure to enter your answers in the order of liquidity. Input all amounts as positive values. Omit the "$" sign in your response.)

Welnor Industrial Gas Corporation Budgeted Balance Sheet December 31
Assets
(Click to select)Property, plant and equipmentInventoryCashAccounts receivable
(Click to select)Accounts receivableProperty, plant and equipmentInventoryCash
(Click to select)Accounts receivableProperty, plant and equipmentCashInventory
(Click to select)Accounts receivableCashInventoryProperty, plant and equipment
Total assets
Liabilities and Stockholders Equity
(Click to select)CashAccounts payableCommon stockRetained earnings
(Click to select)CashCommon stockAccounts payableInventory
(Click to select)Accounts payableRetained earningsInventoryCash
Total liabilities and stockholders equity