Victors Company expects to sell $6,000$ units for $$185$ each for a total of $$1,110,000$ in January and $3,200$ units for $$210$ each for a total of $$672,000$ in February. The company expects cost of goods sold to average $60\%$ of sales revenue, and the company expects to sell $4,400$ units in March for $$240$ each. Victors Company's target ending inventory is $$17,000$ plus $50\%$ of the next month's cost of goods sold. Prepare Victors Company's inventory, purchases, and cost of goods sold budget for January and February.

Victors Company

Inventory, Purchases, and Cost of Goods Sold Budget

Two months Ended January $31$ and February $28$

Cost of goods sold

Plus: Desired ending merchandise inventory

Less: Beginning merchandise inventory

Budgeted purchases