On January 1, 2020, the Sheridan Company budget committee has reached agreement on the following data for the 6 months ending June 30, 2020. Sales units: First quarter 5,200; second quarter 6,000; third quarter 7,000. Ending raw materials inventory: 40% of the next quarter's production requirements. Ending finished goods inventory: 25% of the next quarter's expected sales units. Third-quarter production: 7,630 units. The ending raw materials and finished goods inventories at December 31, 2019, follow the same percentage relationships to production and sales that occur in 2020.3 pounds of raw materials are required to make each unit of finished goods. Raw materials purchased are expected to cost $4 per pound. Prepare a production budget by quarters for the 6-month period ended June 30, 2020. SHERIDAN COMPANY Production Budget For the Six Months Ending June 30, 2020 Quarter Six Months 1 2 Expected Unit Sales 5200 6000 Add Desired Ending Finished Goods Unit Total Required Units Less Beginning Finished Goods Unit Required Production Units Prepare a direct materials budget by quarters for the 6-month period ended June 30, 2020. SHERIDAN COMPANY Direct Materials Budget For the Six Months Ending June 30, 2020 Quarter 1 2 Six Months Units to be Produced Direct Materials Per Unit Total Pounds Needed for Production Add Desired Ending Direct Materials (Pounds) Total Materials Required Less Beginning Direct Materials (Pounds) Direct Materials Purchases Cost Per Pound $ $ Total Cost of Direct Materials Purchases $ $ $