1. . The 2ne1 Company manufactures a product called JMT. Each unit of JMT requires 10 kg of a material called SNSD. The budget calls for production of 8,500 units of JMT for the month of July. The ending inventory of SNSD is forecast at 3500 kg for the month of July and 5,000 kg for the month of June. If the cost of SNSD is $2 per kg, what is the cost of purchases in monetary terms during the month of July?

1. $167,000
2. $170,000
3. $173,000
4. $180,000