Finch Company began its operations on March 31 of the current year. Finch has the following projected costs:

	April	May	June
Manufacturing costs (1)	$156,800	$195,200	$217,600
Insurance expense (2)	1,000	1,000	1,000
Depreciation expense	2,000	2,000	2,000
Property tax expense (3)	500	500	500

(1) Of the manufacturing costs, three-fourths are paid for in the month they are incurred; one-fourth is paid in the following month. (2) Insurance expense is $1,000 a month; however, the insurance is paid four times yearly in the first month of the quarter, (i.e., January, April, July, and October). (3) Property tax is paid once a year in November. The cash payments expected for Finch Company in the month of April are

a. $120,600

b. $123,100

c. $122,600

d. $121,100