You have been asked to prepare a December cash budget for Ashton Company, a distributor of exercise equipment. The following information is available about the company's operations: a. The cash balance on December 1 is $40,000. b. Actual sales for October and November and expected sales for December are as follows: Cash sales Sales on account October November December $ 65,000 $ 70,000 $ 83,000 400,000 525,000 600,000 Sales on account are collected over a three-month period as follows: 20% collected in the month of sale, 60% collected in the month following sale, and 18% collected in the second month following sale. The remaining 2% is uncollectible. c. Purchases of inventory will total $280,000 for December. Thirty percent of a month's inventory purchases are paid during the month of purchase. The accounts payable remaining from November's inventory purchases total $161,000, all of which will be paid in December d. Selling and administrative expenses are budgeted at $430,000 for December. Of this amount, $50,000 is e. A new web server for the Marketing Department costing $76,000 will be purchased for cash during f. The company maintains a minimum cash balance of $20,000. An open line of credit is available from the for depreciation. December, and dividends totaling $9,000 will be paid during the month company's bank to bolster the cash position as needed Required: 1. Prepare a schedule of expected cash collections for December. Ashton Company Schedule of Expected Cash Collections December cash sales Collections on account: October sales November sales December sales Total cash collections