MCO Leather manufactures leather purses. Each purse requires $2$ pounds of direct materials at a cost of $$4$ per pound and $0\mathrm{.}8$ direct labor hour at a rate of $$16$ per hour. Variable overhead is budgeted at a rate of $$2$ per direct labor hour. Budgeted fixed overhead is $$10,000$ per month. The company's policy is to end each month with direct materials inventory equal to $40\%$ of the next month's direct materials requirement. At the end of August the company had $3,680$ pounds of direct materials in inventory. The company's production budget reports the following.

$\backslash$table$[[$Production Budget,September,October,November$],[$Units to produce,$4,600,6,200,5,800]]$

$(1)$ 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.

Complete this question by entering your answers in the tabs below.

Prepare direct materials budgets for September and October.

$\backslash$table$[[$MCO Leather$],[$Direct Materials Budget,$],[$Units to produce,September,October$],[,,],[$Materials needed for production $($pounds$),,],[,,]]$