A sales budget is given below for one of the products manufactured by the Magnus Inc.: January February March April May June 25,000 units 40,000 units 65,000 units 45,000 units 35,000 units 20,000 units The inventory of finished goods at the end of each month must equal 20% of the next month's sales. Each unit of product requires three kilograms of material. Magnus Inc. has a policy of maintaining an ending inventory at the end of each month equal to 30% of the next month's production needs. Material costs $5 per kg. GH Inc, pays 50% of its material purchases in the month of purchase and 50% in the following month. Required: a) Prepare a budget showing the quantity of material to be purchased each month for January, February, and March, and in total for the quarter. b) Prepare a schedule of the cash payments for direct material for the first quarter. Assume accounts payable at the end of December was $40,000