Popeil Products, a wholesaler of fishing equipment, budgeted the following sales for the indicated months: Sales on account June 20x8 $1.850,000 130,000 $1,980,000 July 20x8 $1,920,000 156,000 $2,076,000 August 20x8 $1,910,000 274.000 Cash sales Total sales $2,184,000 All merchandise is marked up to sell at its invoice cost plus 20%. Target merchandise inventories at the beginning of each month are 25% of that month's projected cost of goods sold. 1. Compute the budgeted cost of goods sold for the month of June 20X8. 2. Compute the budgeted merchandise purchases for July 20X8