Information pertaining to Noskey Corporation's sales revenue follows: Cash sales Credit sales Total sales November 2021 (Actual) $ 125,000 294,000 $ 419,000 December 2021 (Budgeted) $ 127,000 423,000 $ 550,000 January 2022 (Budgeted) $ 78,000 216,000 $ 294,000 Management estimates 5% of credit sales to be uncollectible. Of collectible credit sales, 60% is collected in the month of sale and the remainder in the month following the month of sale. Purchases of inventory each month include 70% of the next month's projected total sales (stated at cost) plus 30% of projected sales for the current month (stated at cost). All inventory purchases are on account; 25% is paid in the month of purchase, and the remainder is paid in the month following the month of purchase. Purchase costs are approximately 60% of the selling price. $ 691,420 75 % NOSKEY CORPORATION Budgeted Total Cash Payments December 2021 Total inventory purchases in November: For November sales: $ 306,420 For December sales 385,000 Percentage of November purchases to be paid in December Payment in December for purchases in November Budgeted purchases in December For December sales $ 285,435 For January sales: 205,800 Percentage of December purchases to be paid in December Payment in December for purchases in December Budgeted cash payment in December for inventory purchases S 518,565 491,235 25 % 122,809 S 641,374