Kasson Company has budgeted units to be produced for the next five months as follows: budgeted units to be produced June 12,000 July 15,000 August 22,000 September 18,000 October 11,000 Kasson Company used the following information in creating its master budget for the year: 1. Ending direct materials inventory for each month should be equal to 130% of the next month's production needs. 2. Each unit produced requires 2.5 pounds of direct materials. 3. Direct materials are purchased for $3.20 per pound. Calculate the cost of direct materials budgeted to be purchased in August.

Kasson Company has budgeted units to be produced for the next five months as follows: Kasson Company used the following information in creating its master budget for the year: 1. Ending direct materials inventory for each month should be equal to 130% of the next month's production needs. 2. Each unit produced requires 2.5 pounds of direct materials. 3. Direct materials are purchased for $3.20 per pound. Calculate the cost of direct materials budgeted to be purchased in August