MCO Leather manufactures leather purses. Each purse requires 2 pounds of direct materials at a cost of $4 per pound and 0.7 direct labor hours at a rate of $18 per hour. Variable manufacturing overhead is charged at a rate of $2 per direct labor hour. Fixed manufacturing overhead is $16,000 per month. The company's policy is to end each month with direct materials inventory equal to 40% of the next month's materials requirement. At the end of August the company had 3,980 pounds of direct materials in inventory. The company's production budget reports the following Production Budget September October November Units to be produced 5,800 6,700 7.100 (1) Prepare direct materials budgets for September and October. (2) Prepare direct labor budgets for September and October. (3) Prepare factory overhead budgets for September and October Required 1 Required 2 Required 3 Prepare direct materials budgets for September and October. MCO Leather Direct Materials Budget For the Months of September and October September October Budgeted production (units) Materials requirements per unit (lbs.) Materials needed for production (lbs.) 0 0 Budgeted ending inventory (lbs.) Total materials requirements (lbs.) 0 0 Budgeted beginning inventory (lbs.) Materials to be puceased (lbs.) 0 Direct material cost per lb. Total budgeted direct materials $ 0 $ 0 0 Prepare direct labor budgets for September and October (Round "DL hours required per unit" answers to one decimal place.) MCO Leather Direct Labor Budget For the Months of September and October September October Budgeted production (units) DL hours required per unit Total direct labor hours needed Direct labor rate per hour Total budgeted direct labor $ 0 $ 0 0 0 Prepare factory overhead budgets for September and October MCO Leather Factory Overhead Budget For the Months of September and October September October Total direct labor hours needed VOH rate per DL hour Budgeted variable overhead 0 Budgeted fixed overhead Total budgeted factory overhead $ 0 $ Rocuired Zira Coreports the following production budget for the next four months. May Production (units) April 632 660 June 666 July 646 Each finished unit requires four pounds of raw materials and the company wants to end each month with raw materials inventory equal to 40% of next month's production needs. Beginning raw materials inventory for April was 1,011 pounds. Assume direct materials cost $4 per pound Prepare a direct materials budget for April, May, and June. (Round your intermediate calculations and final answers to the nearest whole dollar amount.) ZIRA CO. Direct Materials Budget For April, May, and June April May June Budgeted production (units) Materials requirements per unit Materials needed for production (lbs) Budgeted ending inventory (lbs.) Total materials requirements (lbs) Beginning inventory (lbs) Materials to be purchased (lbs.) Cost per lb Total budgeted direct materials cost