Samano Industries has adopted the following production budget for the four quarters of 2016: Each unit requires

Question:

Samano Industries has adopted the following production budget for the four quarters of 2016:

Each unit requires 4 kg of raw materials costing $6 per kilogram. On December 31, 2015, the ending raw materials inventory was 1,800 kg. Management wants to have a raw materials inventory at the beginning of each quarter equal to 30% of the current quarter's production requirements. The production budget for the first quarter of 2017 will be 12,000 units
Instructions
Prepare a direct materials purchases budget by quarters for 2016.