Bramble Corporation wholesaler of gourmet food products. Data regarding the store's operations follow:Sales are budgeted at $340,000 for November, $320,000 for December, and $310,000 for January. Collections are expected to be 80% in the month of sale and 20% in the month following the sale. The cost of goods sold is 75% of sales. The company would like to maintain ending merchandise inventories equal to 60% October 31 Assets Cash $ 20,000 Accounts receivable 70,000Merchandise inventory 153,000

Property, plant and equipment, net of $572,000

accumulated depreciation 1,094,000

Total assets $ 1,337,000

Liabilities and Stockholders' Equity Accounts payable $ 254,000

Common stock 820,000

Retained earnings 263,000

Total liabilities and stockholders' equity $ 1,337,000

The cost of December merchandise purchases would be: Multiple Choice

a. $240,000

b. $255,000

c. $139,500

d. $235,500