Your acquisition program expects to award vehicle production contract in April 2012. The first item from this contract is anticipated to be delivered in January 2014. The estimated unit cost for each vehicle is $11 million (then-year dollars) and contractor can deliver exactly 3 items per month beginning in January 2014. No advance procurement will be employed for this contract. Determine the maximum amount that might be budgeted for the FY12 vehicle production contract that still complies with applicable DoD funding policies?
$11 million
$396 million
$33 million
$360 million