Caspion Corporation makes and sells a product called a Miniwarp. One Miniwarp requires 3.5 kilograms of the raw material Jurislon. Budgeted production of Miniwarps for the next five months is as follows:

August	23,600	units
September	22,300	units
October	23,700	units
November	24,900	units
December	24,600	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 11,800 kilograms of Jurislon were on hand. The cost of Jurislon is $28 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

$2,848,160

$2,749,880

$2,419,480

$2,312,800