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Direct Materials Purchases Budget Seranno Publishers Inc. budgeted production of 65,000 diaries in 2016 . Paper is required to produce a diary. Assume 110 square yards of paper are required for each diary. The estimated January 1,2016, paper inventory is 501,000 square yards. The desired December 31,2016 , paper inventory is 322,000 square yards. If paper costs $0,1 per square yard, determine the direct materials purchases budget for 2016: If required, round your final answer to the nearest dollar