Gyrl Skateboards manufactures skateboard decks. Guy Gyrl, the CEO, is forecasting cash flows for the next few months. Forecasted sales are shown on the top row of the table. Gyrl's cost of goods sold is 81.2% of sales

Gyrl buys its raw materials one month prior to the sale of the finished product. It pays for half of its raw materials in the same month as the purchase and half in the following month. What are Gyrl's purchases in January?

Gyrl Skateboards Inc
Sales and Purchase Forecast ($000s)
November December January February
Sales Forecast $2,700 $2,950 $2,545 $2,795
Purchases from Suppliers
Payments to Suppliers
Payments one month after

A) $2,067,000
B) $2,150,000
C) $2,225,000
D) $2,270,000
E) $2,395,000

D