At the beginning of 2014, Fredrickics Stores has an inventory of $300,000. Becasue sales growth was strong during 2014, the owner wants to increase inventory on hand to $450,000 at Dec. 31, 2014. If net sales for 2014 are expected to be $2,600,000 and the gross profit rate is expected to be 35% compute the cost of merchandise the owner should expect to purchase during 2015

a. $1,240,000

b. $750,000

c. $1,840,000

d. $1,690,000