Fortin Limited produces and sells a single product, a wearable LED light for runners and cyclists. The analytics group at Fortin Limited has developed the following estimates for unit sales in the upcoming year. Budgeted unit sales First Quarter 25,600 Second Third Fourth Quarter Quarter Quarter 22,200 20,300 21,600 Each light requires two separate LED bulbs, each of which costs $2. To ensure enough LED bulbs are on hand to support short-term production if a problem arises with the sole supplier, Fortin Limited maintains an ending inventory of 10% of the following quarter's production needs. A total of 4,400 LED bulbs will be on hand to start the first quarter of the upcoming fiscal year. Management expects sales in the fourth quarter of the upcoming year to be the same as the first quarter of the following year. Required: Prepare a direct materials purchases budget for LED bulbs, by quarter and in total, for the upcoming fiscal year. At the bottom of your budget, show the dollar amount of purchases for each quarter and for the year in total. Hint: Fortin Limited maintains an ending Inventory of both raw materials and finished goods of 10% of the following quarter's production needs. Before preparing a direct materials budget, the production budget must be prepared. Answer is complete but not entirely correct. FORTIN LIMITED Direct Materials Budget - Year 2 Quarter Required production of lights First 25,620 Second Third Fourth Year 22,010 20,430 21,600 89,660 Number of bulbs per light 2 2 2 2 2 Total production needs-bulbs 51,240 44,020 40,860 43,200 179,320 Add: Desired ending inventory-bulbs 4,402 4,086 4,320 4,086 4,400 Total needs-bulbs 55,642 48,106 45,180 47,286 183,720 Less: Beginning inventory-bulbs 5,564 4,402 4,086 4,320 Required purchases-bulbs 50,518 x 43,704 41,094 43,280 4,400 179,320 x Total cost of purchases $ 101,036 $ 87,408 82,188 $ 86,560 $ 358,6401