) Blanchard Corporation makes one product and has provided the following information:

Budgeted sales, May		9,500	units
Raw materials requirement per unit of output		2	pounds
Raw materials cost	$	2.00	per pound
Direct labor requirement per unit of output		2.7	direct labor-hours
Direct labor wage rate	$	20.00	per direct labor-hour
Predetermined overhead rate (all variable)	$	10.00	per direct labor-hour

The estimated cost of goods sold for May is closest to:

A) $807,500

B) $256,500

C) $646,000

D) $551,000