Zoom Pte Ltd has prepared the following budget for the next three months:

	January	February	March
Sales in units	16,000	21,000	20,000
Production in units	17,000	19,000	18,000

One kg 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 January would be budgeted to be:

1)

17,400 kg

2)

19,000 kg

3)

23,000 kg

4)

18,800 kg