The following are budgeted data:

JanuaryFebruary March

Sales in

units

$15,00020,000,18,000$

Production

in units

$18,00019,000,16,000$

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:

$19,600$

$20,400$

$18,400$

$18,600$