Martinez Company incurred the following costs during 2019 in connection with its research and development activities.

Cost of equipment acquired that will have alternative uses in future R&D 

projects over the next 5 years (uses straight-line depreciation).......$330,000

Materials consumed in R&D projects.....................................................59,000

Consulting fees paid to outsiders for R&D projects............................100,000

Personnel costs of persons involved in R&D projects..........................128,000

Indirect costs reasonably allocable to R&D projects.............................50,000

Materials purchased for future R&D projects.......................................34,000

Instructions

Compute the amount to be reported as research and development expense by Martinez on its income statement for 2019. Assume equipment is purchased at the beginning of the year and economic viability has not been achieved.