5-2 - Managerial Accounting IBD Company has prepared a sales budget of 55.000 finished units for a three month period. The company has an inventory of 21.000 units of finished goods on hand at December 31 and has a target finished goods inventory of 20,000 units at the end of the succeeding quarter. It takes three gations of direct materials to make one unit of finished product. The company has an inventory of 60,000 gallons of direct materials at December 31 and has a target ending inventory of 50,000 gallons at the end of the succeeding quarter, Required: How many gallons of direct materials should be purchased during the three months ending March 317 PHILIPS Number of Number Number Purchase of Number of Engineering Changes Machine of Orders Moves Hours Units 6,000 2,400 14 2,000 1,000 B 6,000 800 18 8,000 6,000 12,000 6,800 8 10,000 3,000 Total 24,000 10,000 40 Required: Calculate the Factory Overhead Cost per Unit (for Product A, B, and C) using an activity. based costing system (ABC)