You are preparing a supply budget and have the following information about the first five months of the current fiscal year. During that time, your clinics have served 62,500 visits. For the budget year, you anticipate volume will be 165,000 visits. Inflation is expected to be 10%

Items Office Supplies (F) Amount $1,200,000 Clinic Supplies (F) 1,350,000 Medical supplies (V) 3,500,000 Pharmaceuticals (V) 5,500,000 Small instruments (F) 444,000 Books & Periodicals (F) 5,000 Miscellaneous (F) . 1,000 Total $12,000,000