QS 20-12 (Algo) Manufacturing: Direct materials budget LO P1 Zortek Corporation budgets production of 500 units in January and 320 units in February. Each finished unit requires six pounds of material Z, which costs \$4 per pound: Each month's ending inventory of material Z should be 40% of the following month's budgeted production. The January 1 inventory has 1,200 pounds of materiai Z. Prepare a direct materlals budget for January