You have been asked to prepare a December cash budget for Ashton Company, a distributor of exercise equipment. The following information is avaliable about the company's operations: 6. The cash balarice on December 1 is $40,000 b. Actual sales for October and November and expected sales for December are as follows: 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 t 18% collected in the second month following sole. The remaining 2% is uncollectible. c. Purchases of inveritory wil 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 imventory purchases total $161,000, oll of which will be poid in December. d. Seling and edministrative expenses ore budgeted at $430,000 for December. Or this omount, $50,000 is for depreciotion e. A new web server for the Marketing Department costing $76,000 will be purchased for cosh during December, and dividends totaling $9.000 wil be paid during the month. t. Tbe company maintains a minimum cash balance of $20,000. An open line of credit is ovallabie from the company's bark to increase as cash balance as needed. Aequired: 1. Calcailute the expected cash colections for December. 2. Caiculate the expected cash disbursements for merchanaise purchoses for December. 3. Prepare a cash budget for Becember. Indicate in the Einancing section any borrowing that wer be needed during the month. Assurne that any interest wil not be paid until the following month. 1. Calculate the expected cash collections for December. 2. Calculate the expected cash disbursements for merchandise purchases for December. 3. Prepare a cash budget for December. Indicate in the financing section any borrowing that will that any interest will not be paid until the following month. Complete this question by entering your answers in the tabs below. 1. Calculate the expected cash collections for December. 2. Calculate the expected cash disbursements for merchandise purchases for December. Prepare a cash budget for December. Indicate in the financing section any borrowing that will be needed durin Assume that any interest will not be paid until the following month