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MCO Leather manufactures leather purses. Each purse requires 2 pounds of direct materials at a cost of $3 per pound and 0.7 direct labor hour at a rate of $12 per hour. Variable overhead is budgeted at a rate of $2 per direct labor hour. Budgeted fixed overhead is $15,000 per month. The company's policy is to end each month with direct materials inventory equal to 30% of the next month's direct materials requirement. At the end of August the company had 2,700 pounds of direct materials in inventory. The company's production budget reports the following. (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. Prepare direct labor budgets for September and October. (Round "DL hours required per unit" answers to one decimal place.) \begin{tabular}{|l|r|r|} \hline \multicolumn{2}{|c|}{ MCO Leather } & \\ \hline \multicolumn{2}{|c|}{ Direct Labor Budget } & \\ \hline Units to produce & September & October \\ \hline & & \\ \hline Direct labor hours needed & & \\ \hline & 0 & \\ \hline Cost of direct labor & & \\ \hline \end{tabular} Prepare factory overhead budgets for September and October