Information pertaining to Collection Corporation's sales revenue is presented below: Cash sales Credit sales Total sales November $ 107,000 299,000 $ 406,000 December $ 136,000 461,000 $ 597,000 January $ 89,000 245,000 $ 334,000 Management estimates that 4% of credit sales are eventually uncollectible. Of the collectible credit sales, 60% are likely to be collected in the month of sale and the remainder in the month following the month of sale The company desires to begin each month with an inventory equal to 80% of the sales projected for the month. All purchases of inventory are on open account; 30% will be paid in the month of purchase, and the remainder paid in the month following the month of purchase. Purchase costs are approximately 55% of the selling prices. Total budgeted inventory purchases in November by Collection Corporation are: Multiple Choice $262,680. O O $307,340. O $406.000. O $485,980. $538,248