5 Each unit requires 3 pounds of direct materials, which cost $6 per pound. The company's policy is to 6 maintain direct materials inventory equal to 30% of the next month's direct materials requirement. As of 7 June 30 , the company has 4,500 pounds of direct materials in inventory. 2 Miami Solar manufactures solar panels for industrial use. The company budgets production of 5,000 units (solar panels) in July and 5,300 units in August. (Click on the Graded Worksheet Tab below.) Each unit requires 3 pounds of direct materials, which cost $6 per pound. The company's policy is to maintain direct materials inventory equal to 30% of the next month's direct materials requirement. As of June 30 , the company has 4,500 pounds of direct materials in inventory