Wallace Company provides the following data for zext year:-* Month Budgeted Sales January $120,000 February $108,000 March $132,000 April $144,000 The gross profit rate is 40% of sales. Inventory at the end of December is $21,600 and target ending inventory levels are 30% of next month's sales, stated at cost. Purchases budgeted for January total: A. $ 130,800 B. $ 72,000 C. $ 69,840 D. $74,160