Bramble Corporation is a small wholesaler of gourmet food products. Data regarding the store's operations follow: Sales are budgeted at $350,000 for November, $330,000 for December, and $320,000 for January. Collections are expected to be 45% in the month of sale and 55% in the month following the sale. The cost of goods sold is 75% of sales. The company would like to maintain ending merchandise inventories equal to 80% of the next 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 24,100 monthly depreciation is 15,100 ignore taxes Assets Cash $ 20,100 Accounts receivable 70,100 Merchandise inventory 210,000 Property, plant and equipment, net of $572,100 accumulated depreciation 1,094,100 Total assets $ 1,394,300 Liabilities and Stockholders' Equity Accounts payable $ 254,100 Common stock 820,100 Retained earnings 320,100 Total liabilities and stockholders' equity $ 1,394,300

The cost of December merchandise purchases would be: