Ramon Company incurred the following costs during 2015 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).	$396,540
	Materials consumed in R & D projects	55,234
	Consulting fees paid to outsiders for R & D projects	104,100
	Personnel costs of persons involved in R & D projects	122,300
	Indirect costs reasonable allocable to R & D projects	52,341
	Materials purchased for future R & D projects	30,257

Need help which is the answer:

Compute the amount to be reported as research and development expense by the company on its income statement for 2015. Assume equipment is purchased at beginning of year.

$290,983

$360,942

$413,283

$730,515