Electro Company budgets production of 610,000 electric panels in the second quarter and 680,000 electric panels in the third quarter Each panel requires 0.80 pound of direct material at a cost of $1.70 per pound. The company desires to end each quarter with an ending inventory of this material equal to 20% of next quarter's budgeted materials requirements. Beginning inventory of this material is 97.600 pounds. Prepare a direct materials budget for the second quarter. Units to produce ELECTRO COMPANY Direct Materials Budget Second Quarter 610,000 units 0 80 pounds Materials needed for production (pounds) 488,000 pounds Total materials required Materials to purchase (pounds) Cost of direct materials purchases