Provide explanation and answers, and highlight answers.

Exercise 10.20 Samano Industries has adopted the following production budget for the four quarters of 2020: Quarter 1 Quarter 2 Quarter 3 Quarter 4 Units 6,100 7,900 9,000 9,800 Each unit requires 4 kg of raw materials costing $5 per kilogram. On December 31, 2019, the ending raw materials inventory was 1,700 kg. Management wants to have a raw materials inventory at the beginning of each quarter equal to 30% of the current quarter's production requirements. The production budget for the first quarter of 2021 will be 12,000 units. Prepare a direct materials purchases budget by quarters for 2020.SAMANO INDUSTRIES Direct Materials Purchases Budget (kg) For the year ending December 31, 2020 Quarter 1 2 3 4 S $