Problem 2 (15 points) Tyrion Company has the following budgeted production for the 2nd quarter ending in June 30. April May June Quarter Budgeted Production 10,000 20,000 30,000 60,000 Each unit requires 2.5 pounds of raw material that costs $8.00 per pound Management desires to end each month with an inventory of raw materials equal to 15% of the following month's production needs. The beginning raw materials inventory for April is budgeted to be 6,500 pounds and desired ending inventory for June is budgeted to be 13,000 pounds. Management plans to pay for 80% of raw material purchases in the month acquired and 20% in the following month. In addition, the beginning accounts payable for April is budgeted to be $70,000. Required: a. Prepare the company's direct materials budget and schedule of expected cash disbursements for purchases of materials for the 2nd quarter ending in June. b. If the actual cost of material purchased is $7 per pound and 1.5 pounds of raw materials were purchased to manufacture each unit of product. Compute the materials quantity variance for one unit of product from the budgeted standard