Caspion Corporation makes and sells a product called a Miniwarp. One Miniwarp requires 8.5 kilograms of the raw material Jurislon. Budgeted production of Miniwarps for the next five months is as follows:

August	23,200	units
September	21,900	units
October	23,300	units
November	24,500	units
December	24,200	units

The company wants to maintain monthly ending inventories of Jurislon equal to 20% of the following month's production needs. On July 31, this requirement was not met since only 11,400 kilograms of Jurislon were on hand. The cost of Jurislon is $24 per kilogram. The company wants to prepare a Direct Materials Purchase Budget for the next five months.

The total cost of Jurislon to be purchased in August is:

Multiple Choice

A. $1,812,000

B. $5,352,720

C. $5,626,320

D. $4,732,800