Alliance Company budgets production of 36,000 units in January and 40,000 units in February. Each...

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Accounting

Alliance Company budgets production of 36,000 units in January and 40,000 units in February. Each finished unit requires 3 pounds of raw material K that costs $2.00 per pound. Each month's ending raw materials inventory should equal 30% of the following month's budgeted materials. The January 1 inventory for this material is 32,400 pounds. What is the budgeted materials cost for January?
Multiple Choice
$216,000.
$288,000.
$223,200.
$151,200.
$136,800.
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