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Hannon Retailing Company prices its products by adding 3 0 % to its cost. Hannon anticipates sales of $ 7 1 5 , 0 0

Hannon Retailing Company prices its products by adding 30% to its cost. Hannon anticipates sales of $715,000 in July, $728,000 in August, and $624,000 in September. Hannon's policy is to have on hand enough inventory at the end of the month to cover 25% of the next month's sales. What will be the cost of the inventory that Hannon should budget for purchase in August?
a. $560,000
b. $540,000
c. $680,000
d. $509,600
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