Caruso Company Incurred the Following Costs During 2012 in Connection

Caruso Company incurred the following costs during 2012 in connection with its research and development activities.
$\begin{array}{|l|l|}\hline \begin{array}{l}\text { Cost of equipment acquired that will have alternative uses in future R\&D projects } &\\\text { over the next } 4 \text { years (uses straight-line depreciation) }\end{array} &\$220,000 \\\hline \text { Materials consumed in R\&D projects } & 67,000 \\\hline \text { Consulting fees paid to outsiders for R\&D projects } & 80,000 \\\hline \text { Personnel costs of persons involved in R\&D projects } & 108,000 \\\hline \text { Indirect costs reasonably allocable to R\&D projects } & 45,000 \\\hline \text { Materials purchased for future R\&D projects } & 34,000 \\\hline\end{array}$
REQUIRED: Compute the amount to be reported as research and development expense by Caruso on its income statement for 2012. (Assume equipment is purchased at the beginning of the year and economic viability has not been achieved.)