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Finished goods on December 31, 2027, was 5,000 units. Each unit requires 5 feet of raw materials that cost $2 per foot. The company maintains a finished goods inventory at the end of each month equal to 25% of next month's sales and raw materials inventory equal to 10% of the feet needed for the following month's production. There were 8,640 pounds of raw materials on hand at December 31, 2027. 170,000 feet of raw materials are needed for production in April.

Instructions:For the first quarter of 2028, by month, prepare (1) a production budget and (2) a direct materials budget.