Mason, Durant, and Santos (MDS) is a tax services firm. The firm is located in Oklahoma City and employs 15 professionals and eight staff. The firm does tax work for small businesses and well-to-do individuals. The following data are provided for the last fiscal year. (The Mason, Durant, and Santos fiscal year runs from July 1 through June 30.) Returns processed 3,000 Returns in process, beginning of year 43,000 Returns in process, end of year 12,000 Cost of services sold $1,575,000 Beginning direct materials inventory 20,000 Purchases, direct materials 40,000 Direct labor 1,400,000 Overhead 100,000 Administrative expenses 258,000 Selling expenses 65,000

I JUST NEED TO KNOW HOW TO GET DIRECT MATERIALS