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Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows:

Direct material: 5 pounds at $10.00 per pound	$	50.00
Direct labor: 4 hours at $16 per hour		64.00
Variable overhead: 4 hours at $7 per hour		28.00
Total standard variable cost per unit	$	142.00

The company also established the following cost formulas for its selling expenses:

	Fixed Cost per Month				Variable Cost per Unit Sold
Advertising	$	220,000
Sales salaries and commissions	$	140,000			$	14.00
Shipping expenses					$	5.00

The planning budget for March was based on producing and selling 20,000 units. However, during March the company actually produced and sold 24,600 units and incurred the following costs:

1. Purchased 164,000 pounds of raw materials at a cost of $7.50 per pound. All of this material was used in production.

2. Direct-laborers worked 57,000 hours at a rate of $17.00 per hour.

3. Total variable manufacturing overhead for the month was $653,220.

4. Total advertising, sales salaries and commissions, and shipping expenses were $235,000, $465,000, and $135,000, respectively.

Required:

1. What raw materials cost would be included in the companys flexible budget for March?