Sentra Sporting Company sells tennis rackets and other sporting equipment. The purchasing department manager prepared the inventory purchases budget. Sentra's policy is to maintain an ending inventory balance equal to 15% of the following month's cost of goods sold. January's budgeted cost of goods sold is $130,000. Budgeted Cost of Goods Sold Plus: Desired Ending Inventory Inventory Needed Less: Beginning Inventory Required purchases (on Account) October 120,000 November December 100,000 110,000 15,000 ? ? 135,000 ? ? 18,000 117,000 7 ? ? ? What is the amount of cost of goods sold the company will report on its fourth quarter pro forma income statement? Multiple Choice $356,700 $220,000