Information on the actual sales and inventory purchases of the Drake Company for the first quarter follow:

		Sales	Inventory Purchases
	January..................	$130,000	$65,000
	February................	$110,000	$87,000
	March....................	$135,000	$92,000

Collections from Drake Company's customers are normally 75% in the month of sale, 20% in the month following sale, and 4% in the second month following sale. The balance is uncollectible.Drake Company pays for inventory purchases in the month following purchace (i.e., January purchases are paid for in February) and takes full advantage of the 4.5% discount allowed on purchases paid for by the end of the following month.

The company expects sales in April of $165,000 and inventory purchases of $100,000. Selling and administrative expenses for the month of April are expected to be $38,000, of which $15,000 is salaries and $8,000 is depreciation. The remaining selling and administrative expenses are variable with respect to the amount of sales in dollars. Those selling and administrative expenses requiring a cash outlay are paid for during the month incurred. Drake Company's cash balance on March 1 was $43,000, and on April 1 was $35,000.

The expected cash disbursements during April for inventory purchases would be:

87,860

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