Exercise 9-6 (Video) On January 1, 2020, the Hardin Company budget committee has reached agreement on the following data for the 6 months ending June 30, 2020. Sales units: Ending raw materials inventory: Ending finished goods inventory: Third-quarter production: First quarter 5,100; second quarter 6,300; third quarter 7,300. 40% of the next quarter's production requirements. 25% of the next quarter's expected sales units. 7,670 units. The ending raw materials and finished goods inventories at December 31, 2019, follow the same percentage relationships to production and sales that occur in 2020. 5 pounds of raw materials are required to make each unit of finished goods. Raw materials purchased are expected to cost $5 per pound. Prepare a production budget by quarters for the 6-month period ended June 30, 2020. HARDIN COMPANY Production Budget For the Six Months Ending June 30, 2020- Quarter Six Months 1 2 X Expected Unit Sales 5500 6600 Add Desired Ending Finished Goods Unit 1650 1825 X Total Required Units 7150 8425 Less Beginning Finished Goods Unit 1375 1650 xl Required Production Units 5775 6775 12550 Prepare a direct materials budget by quarters for the 6-month period ended June 30, 2020. HARDIN COMPANY Direct Materials Budget For the Six Months Ending June 30, 2020 4 Quarter 1 2 Six Months Units to be produced Direct Materials Per Unit Total Pounds Needed for Production Add Desired Ending Direct Materials (Pounds) - Total Materials Required Less Beginning Direct Materials (Pounds) Direct Materials Purchases Cost Per Pound $ Add A Desired Ending Direct Materials (Pounds) A ~ Total Materials Required Less 4 Beginning Direct Materials (Pounds) bbotsd bilind Direct Materials Purchases Cost Per Pound $ X Total Cost of Direct Materials Purchases $