Crane 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)		$280,500
Materials consumed in R&D projects		55,100
Consulting fees paid to outsiders for R&D projects		111,000
Personnel costs of persons involved in R&D projects		131,500
Indirect costs reasonably allocable to R&D projects		45,100
Materials purchased for future R&D projects		32,100

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