Takeya Companys 2014 sales are forecasted to be:

Quarter	1 st	2 nd	3 rd	4 th
Unit Sales	16,000	18,000	20,000	17,000

In order to produce one unit, the company must use two and a half pounds of raw material. Moreover, each quarters ending raw materials balance must equal 40% of the following quarters production needs. Additionally, at the end of each quarter Takeya is determined to hold finished goods inventory of 20% of the next quarters sales needs. What is the second quarter budgeted raw material purchases?

A. 39,800

B. 61,700

C. 35,500

D. 47,000

E. cannot to be determined