Oakville Corp. incurred the following costs during 2020 in connection with its research and development phase activities:

Cost of equipment acquired for use in research and development projects over the next 5 years (straight-line depreciation used)$252,000

Materials consumed in research projects64,000

Materials consumed in the development of a product committed for manufacturing in the first quarter 2021 33,800

Consulting fees paid in the last quarter of 2020 to outsiders for research and development projects, including $4,400 for advice related to the $33,800 of materials used above 86,200

Personnel costs of persons involved in research and development projects110,600

Indirect costs reasonably allocated to research and development projects24,400

General borrowing costs on the company's line of credit 12,000

Training costs for a new customer service software program22,000

(a)Calculate the amount to be reported as research and development expense by Oakville on its income statement for 2020. Assume the equipment is purchased at the beginning of the year. Assume the company follows IFRS for financial reporting purposes.

Amount to be reported as research and development expense $$