The following information is available for the first month of operations for Bluemoon, Inc.:

Sales	$850,000
Gross profit	330,000
Indirect labor	35,000
Indirect materials	14,000
Other factory overhead	9,000
Materials purchased	360,000
Total manufacturing costs	670,000
Materials inventory, end of period	20,000

Based on the information provided for Bluemoon, Inc., calculate direct materials cost used in production.

a. $326,000

b. $346,000

c. $340,000

d. $360,000