12.Alliance Company's budgets production of 36,000 units in January and 40,000 units in the February. Each finished unit requires 3 pounds of raw material K that costs $2.00 per pound. Each month's ending raw materials inventory should equal 30% of the following month's budgeted materials. The January 1 inventory for this material is 32,400 pounds. What is the budgeted materials need in pounds for January?

• 111,600 pounds.
• 108,000 pounds.
• 75,600 pounds.
• 144,000 pounds.
• 68,400 pounds.