Problem 5-3: You will be required to prepare a December cash budget. You are provided with the following information: a] Cash balance on December 1 is $60,000. b] Actual sales for October and November and expected sales for December are as follows: October November December Cash sales $95,000 $105,000 $125,000 Sales on account $600,000 $785,000 $900,000 Sales on account are collected over a three month period as follows: Month of sale: 15% Month following sale: 60% Second month following sale: 20% Five percent of sales on account are uncollectible. c] Purchases of inventory for December will total $420,000. Forty percent of a month