JT Department Store expects to generate the following sales (Expected Sales) for the next three months : May $500,000 June $600,000 July $520,000 August $450,000 September $400,000 JT's cost of goods sold is 70% of sales dollars. At the end of each month, JT wants a merchandise inventory balance equal to 20% of the following month's expected cost of goods sold. What dollar amount of merchandise inventory should JT plan to purchase in May?: Select one: O a. $350,000 O b. $364,000 O c. $434,000 O d. $420,000