A company has budgeted production for next year as follows: First 56, eee Quarter Second Third Fourth 96,000 106,000 86,000 Production in units Four pounds of material R are required for each unit produced. The company has a policy of maintaining a stock of material R on hand at the end of each quarter equal to 30% of the next quarter's production needs for the material. A total of 46.000 pounds of material R are on hand to start the year Budgeted purchases of material R for the second quarter would be: Multiple Choice 87,800 pounds 396,000 pounds 499,200 pounds. O 511,200 pounds