29. MJY Company produces and sells only one product. The selling price is expected to be the prevailing price of Php14 per unit. The company expects to sell 270,000 units of product during the period. The desired finished goods inventory at the end of the period is 180,000 units while the expected beginning inventory is 150,000 units. Each unit of product requires 3.60 kilograms of raw materials. Only one kind of raw material is used, and it is expected to cost Php0.50 per kilogram. The desired ending inventory of raw materials is 28,800 kilograms; the expected beginning inventory is 22,800 kilograms. Direct labor is Php5.00 per hour. Each product requires 1 hour completing. Factory overhead is applied to production on the basis of direct labor hours. Variable factory overhead cost at the planned level of operations is budgeted at Php135,000; fixed budgeted overhead is budgeted at Php450,000. Variable selling and administrative expenses amounted to Php3.50 per unit of product sold while fixed selling and administrative expenses is budgeted at Php200,000. The budgeted material purchases for the period is A. Php57,000 C. Php543,000 B. Php537,000 D. Php1,086,000