Noskey Corporation is a merchandising firm. Information pertaining to the company's sales revenue is presented in the following table.

		June	July	August
		(Actual)	(Budget)	(Budget)
	Cash sales	$ 80,000	$100,000	$ 60,000
	Credit sales	240,000	360,000	180,000
	Total sales	$320,000	$460,000	$240,000

Management estimates that 5% of credit sales are uncollectible. Of the credit sales that are collectible, 60% are collected in the month of sale and 40% in the month following the sale. Purchases of inventory are equal to next month's cost of goods sold. The cost of goods sold is 30% of the total sales. All purchases of inventory are on account; 25% are paid in the month of purchase, and 75% is paid in the month following the purchase.

Noskey Corporation's budgeted total cash payments in July for inventory purchases are:
	A)	$121,500.
	B)	$283,500.
	C)	$240,000.
	D)	$168,000.