Carver Lumber Sells Lumber and General Building Supplies to Building $\bullet$

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: $\bullet$ Sales are budgeted at $350,000 for November, $320,000 for December, and $300,000 for January.
$\bullet$ Collections are expected to be 90% in the month of sale and 10% in the month following the sale.
$\bullet$ The cost of goods sold is 75% of sales.
$\bullet$ 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.
$\bullet$ Other monthly expenses to be paid in cash are $24,700.
$\bullet$ Monthly depreciation is $16,000.
$\bullet$ Ignore taxes.
The cash balance at the end of December would be:

A) $19,000
B) $163,600
C) $61,300
D) $137,600