Dilly farm supply is located in a small town in the rural west. Data regarding the store's operation follow:

Sales are budgeted at $299000 for November, $319,000 for December, and $219,000 for January

Collections are expected to be 65% in the month of sale and 35% in the month following sale.

The cost of goods sold is 80% of sales

The company desires to have an ending merchandise inventory at the end of each month equal to 70% 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 pain in cash are $22000

Monthly depreciation is $25500

Ignore taxes

Assets:

Cash $32500

AR: 81500

Merchandise Inventory: 167440

Property, plant and equipment net of $624000 Accumulated depreciation: 1013000

Total assets: $1,294,440

Liabilities and Stockholders equity:

AP: $248,000

Common stock 749000

Retained earnings: 297440

Total liabilities and stockholders equity: $1,294,440

The total cost of December merchandise purchases would be: ?