The Adams Company, a Merchandising Firm, Has Budgeted Its Activity $£ 450,000$

Multiple Choice

The Adams Company, a merchandising firm, has budgeted its activity for November according to the following information:* Sales at $£ 450,000$ , all for cash
* Merchandise inventory on October 31 was $£ 200,000$ .
* The cash balance November 1 was $£ 18,000$ .
* Selling and administrative expenses are budgeted at $£ 60,000$ for November and are paid for in cash.
* Budgeted depreciation for Nowember is $£ 25,000$ .
* The planned merchandise inventory on November 31 is $£ 230,000$ .
* The cost of goods sold is $70 \%$ of the selling price.
* All purchases are paid for in cash.
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The budgeted net income for November is

A) £50,000.
B) £ 68,000.
C) £ 75,000.
D) £135,000.