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Caspion Corporation makes and sells a product called a Miniwarp. One Miniwarp requires 6.5 kilograms...

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Caspion Corporation makes and sells a product called a Miniwarp. One Miniwarp requires 6.5 kilograms of the raw material Jurislon. Budgeted production of Miniwarps for the next five months is as follows: August September October November December 23,000 units 21,700 units 23,100 units 24,300 units 24,000 units The company wants to maintain monthly ending inventories of Jurislon equal to 20% of the following month's production needs. On July 31, this requirement was not met since only 11,200 kilograms of Jurislon were on hand. The cost of Jurislon is $22 per kilogram. The company wants to prepare a Direct Materials Purchase Budget for the next five months. The total cost of Jurislon to be purchased in August is: Multiple Choice $1,860,320 O $3,663,220 $3,289,000

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