Blossom Company incurred the following costs during the current year 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)		$291,000
Materials consumed in R&D projects		57,200
Consulting fees paid to outsiders for R&D projects		132,000
Personnel costs of persons involved in R&D projects		123,500
Indirect costs reasonably allocable to R&D projects		47,200
Materials purchased for future R&D projects		34,200

Compute the amount to be reported as research and development expense by Blossom on its current year income statement. Assume equipment is purchased at the beginning of the year.