Purchases of direct material for May were

$103,000,

while expected purchases for June and July are

$117,000

and

$134,000,

respectively. All purchases are paid

25%

in the month of purchase and

75%

the following month. Calculate the budgeted payments for the month of June.

A.

$106,500

B.

$87,750

C.

$113,500

D.

$117,000