The following are budgeted data:

	January			February		March
Sales in units	15,000			20,000		18,000
Production in units	18,000			19,000		16,000

One pound of material is required for each finished unit. The inventory of materials at the end of each month should equal 20% of the following month's production needs. Purchases of raw materials for February would be budgeted to be:

Multiple Choice

A: 19,600 pounds

B: 20,400 pounds

C: 18,600 pounds

D: 18,400 pounds