momora Co. 1,910 units in January and 2,263 units in February. The company budgets $85 per it for direct materials. Indirect materials are insignificant and not considered for budgeting urposes. The balance in the Raw Materials Inventory account on January 1 is $50,000. Yamomora o. desired the ending balance in Raw Materials Inventory to be 30% of the next month's direct aterials needed for production. Desired ending balance for February is $53,200. epare Yamomora Co. direct materials budget for January and February. Yamomora Co. Direct Materials Budget For the Two Months Ended February 28 January February Total Budgeted units to be produced Direct materials cost per unit Direct materials needed for production Plus: Desired direct materials in ending inventory Total direct materials needed Less: Direct materials in beginning inventory Budgeted purchases of direct materials