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 $80,000. " Budgeted Cost of Goods Sold Plus: Desired Ending Inventory Inventory Needed Less: Beginning Inventory Required purchases (on Account) October 70,000 7,500 77,500 10,500 67,000 What would be the required purchases (on account) for December? November 50,000 ? 2 ? ? December 60,000 ? ? ? ?

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 geods sold. January's budgeted cost of goods sold is $80,000. What would be the required purchases (on account) for December? $63,000 $71,900 $55,000 $60,000