Train Company makes units, and each unit requires 2 pounds of material at $3 per pound. 500 and 700 units will be built in May and June, respectively. Train keeps material on hand at 20% of the next month's production needs. How much is the material cost for May's output?

Question 10 options:

a)

$2,400

b)

$3,000

c)

$3,240

d)

$4,200

e)	none of these