Diltex Farm Supply is located in a small town in the rural west. Data regarding the store's operations follow: Sales are budgeted at $340,000 for November, $320,000 for December, and $330,000 for January. Collections are expected to be 71% in the month of sale, 28% in the month following the sale, and 1% uncollectible. The cost of goods sold is 60% of sales. The company desires to have an ending merchandise inventory at the end of each month equal to 60% 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 $28,500. Monthly depreciation is $19,500. Ignore taxes. The cost of December merchandise purchases would be: $196,800 $195,600 $192,000 $118,800