Direct Materials Purchases Budget Pasadena Candle Inc. budgeted production of 760,000 candles for the year. Wax is required to produce a candle. Assume 11 ounces of wax is required for each candle. The estimated January 1 wax inventory is 16,900 pounds. The desired December 31 wax inventory is 12,700 pounds. If candle wax costs $1.90 per pound, determine the direct materials purchases budget for the year. (One pound = 16 ounces.) Round all computed answers to the nearest whole dollar. For those boxes in which you must enter subtracted or negative numbers use minus sign. Pasadena Candle Inc. Direct Materials Purchases Budget For the Year Ending December 31 Pounds of wax required for production: Candles 836,000 Desired ending inventory, December 31 12,700 Total units available Estimated beginning inventory, January 1 16,900 Total pounds to be purchased Unit price $ 1.90 Total direct materials to be purchased $ Feedback Check My Work Remember to take into account materials required for production, desired ending materials inventory and estimated beginning materials inventory when calculating direct materials to be purchased