URLI Remaining Time: 2 hours, 11 minutes, 05 seconds. QUESTION COMPLETION STATUS: Pink Ribbon Ltd has the following balances at 31st December 2019: Cash $46,000; accounts receivable $34,000 ($10,000 from November and $24,000 from December); merchandise inventory $40,000; and accounts payable $20,000 (for merchandise purchases only) Budgeted sales follow: January February $100,000 $180,000 $120,000 March April $200,000 Other data: Sales are 40% cash, 50% collected during the following month, and 10% collected during the second month after sale. A 3% cash discount is given on cash sales Cost of goods sold is 40% of sales Ending inventory must be 150% of the next month's cost of sales Purchases are paid 70% in month of purchase and 3096 in the following month The selling and administrative cost function is: $6,000 - 50.2 x sales. This includes $1,000 for depreciation All costs are paid in the month incurred Minimum cash balance requirement is $6,000 What is the budgeted cost of purchases for February? S SPM 6/11/2010