Brarin Corporation is a small wholesaler of gourmet food products. Data regarding the store's operations follow:

	Sales are budgeted at $320,000 for November, $330,000 for December, and $330,000 for January.
	Collections are expected to be 80% in the month of sale, 17% in the month following the sale, and 3% uncollectible.
	The cost of goods sold is 75% of sales.
	The company would like to maintain ending merchandise inventories equal to 65% 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 $21,700.
	Monthly depreciation is $18,900.
	Ignore taxes.

Balance Sheet
October 31
Assets
Cash	$41,000
Accounts receivable, net of allowance for uncollectible accounts	89,000
Merchandise inventory	156,000
Property, plant and equipment, net of $617,000 accumulated depreciation	1,235,000
Total assets	$1,521,000
Liabilities and Stockholders' Equity
Accounts payable	$182,500
Common stock	970,000
Retained earnings	368,500
Total liabilities and stockholders' equity	$1,521,000

The cost of December merchandise purchases would be:

$160,875

$41,000

$89,000

$247,500