Carver lumber sells lumber and general building supplies to building contractors in a medium-sized town in montana. data regarding the store's operations follow: sales are budgeted at $350,000 for november, $320,000 for december, and $300,000 for january. collections are expected to be 90% in the month of sale and 10% in the month following the sale. the cost of goods sold is 75% of sales. the company desires to have an ending merchandise inventory equal to 60% 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 $24,700. monthly depreciation is $16,000. ignore taxes. balance sheet october 31 assets cash $ 19,000 accounts receivable 77,000 inventory 157,500 property, plant and equipment, net of $502,000 accumulated depreciation 1,002,000 total assets $ 1,255,500 liabilities and stockholders’ equity accounts payable $ 272,000 common stock 780,000 retained earnings 203,500 total liabilities and stockholders’ equity $ 1,255,500 the net income for december would be: multiple choice $39,300 $42,300 $32,900 $55,300