2 Fortin Limited produces and sells a single product, a wearable LED light for runners and cyclists. The analytics group at Fortin Limited has developed the following estimates for unit sales in the upcoming year. ts Budgeted unit sales First Quarter 25,900 Second Third Quarter Quarter 21,400 20,900 Fourth Quarter 21,200 Each light requires two separate LED bulbs, each of which costs $2. To ensure en enough LED bulbs are on hand to support short-term production if a problem arises with the sole supplier, Fortin Limited maintains an ending inventory of 10% of the following quarter's production needs. A total of 5,200 LED bulbs will be on hand to start the first quarter of the upcoming fiscal year. Management expects sales in the fourth quarter of the upcoming year to be the same as the first quarter of the following year. Required: Prepare a direct materials purchases budget for LED bulbs, by quarter and in total, for the upcoming fiscal year. At the bottom of your budget, show the dollar amount of purchases for each quarter and for the year in total. Answer is complete but not entirely correct. FORTIN LIMITED Direct Materials Budget - Year 2 Quarter First Second Third Fourth Year Required production of lights 25,900 21,400x Number of bulbs per light 20 20 20,900x 2 21,200 89,400 20 20 Total production needs-bulbs 51,800 42,800 41,800 42,400 178,800 Add Desired ending inventory-bulbs 4,280x 4,180x 4,240 4.240 Total needs-bulbs 56,080 46,980 46,040 46 640 16.940x 195.740 Less Beginning inventory-bulbs Required purchases-bulbs 5,200 50,800 4,280x 42,700 X 4,180 41.860 4,240 42.400 17.900X 177.760x Total cost of purchases S 101,760 S 85,400 S 83.720 S 84.800 S 355 680