I need help with preparing the direct materials budget, please. I would appreciate the step-by-step process as well. Thanks!

_{The Goldberg Tire Company manufactures racing tires for bicycles. Goldberg sells tires for $85 each. Goldberg is planning for the next year by developing a master budget by quarters. Goldberg's balance sheet for December 31, 2018, as follows:}

_{Other data for Goldberg Tire Company:}

(Unless otherwise noted, assume all of the following events occurred during 2018 and that any balances given are stated as of December 31, 2018.) Budgeted sales are 1,400 tires for the first quarter and expected to increase by 50 tires per quarter. a. Cash sales are expected to be 10% of total sales, with the remaining 90% of sales on account. b. Finished Goods Inventory on December 31, 2018 consists of 500 tires at \$26 each. Desired ending Finished Goods Inventory is 50% of the next quarter's sales; first quarter sales for c. 2020 are expected be 1,600 tires. FIFO inventory costing method is used. Raw Materials Inventory on December 31, 2018, consists of 1,000 pounds of rubber compound used d. to manufacture the tires. Direct materials requirements are 2 pounds of a rubber compound per tire. The cost of the compound e. is $4.00 per pound. Desired ending Raw Materials Inventory is 40% of the next quarter's direct materials needed for production; desired ending inventory for December 31, 2019 is 1,000 pounds; indirect materials are f. insignificant and not considered for budgeting purposes. g. Each tire requires 0.40 hours of direct labor; direct labor costs average $8 per hour. h. Variable manufacturing overhead is $3 per tire. Fixed manufacturing overhead includes $5,500 per quarter in depreciation and $17,750 per quarter for i. other costs, such as utilities, insurance, and property taxes. Fixed selling and administrative expenses include $10,000 per quarter for salaries; $1,800 per quarter j. for rent; $1,650 per quarter for insurance; and $1,000 per quarter for depreciation. k. Variable selling and administrative expenses include supplies at 2% of sales. Capital expenditures include $40,000 for new manufacturing equipment, to be purchased and paid in I. the first quarter. Cash receipts for sales on account are 80% in the quarter of the sale and 20% in the quarter following the sale; December 31, 2018, Accounts Receivable is received in the first quarter of 2019; uncollectible m. accounts are considered insignificant and not considered for budgeting purposes. Direct materials purchases are paid 70% in the quarter purchased and 30% in the following quarter; n. December 31, 2018, Accounts Payable is paid in the first quarter of 2019. Direct labor, manufacturing overhead, and selling and administrative costs are paid in the quarter o. incurred. p. Income tax expense is projected at $2,000 per quarter and is paid in the quarter incurred. Goldberg desires to maintain a minimum cash balance of $40,000 and borrows from the local bank as needed in increments of $1,000 at the beginning of the quarter; principal repayments are made at the beginning of the quarter when excess funds are available and in increments of $1,000; interest is 4% per year and paid at the beginning of the quarter based on the amount outstanding from the previous q. quarter. Begin by preparing the sales budget. Prepare the production budget. Review the sales budget you prepared above