Ramos Co. provides the following sales forecast and production budget for the next four months.

	April		May		June		July
Sales (units)	630		710		660		730
Budgeted production (units)	570		700		670		670

The company plans for finished goods inventory of 250 units at the end of June. In addition, each finished unit requires 5 pounds of direct materials and the company wants to end each month with direct materials inventory equal to 20% of next months production needs. Beginning direct materials inventory for April was 570 pounds. Direct materials cost $2 per pound. Each finished unit requires 0.40 hours of direct labor at the rate of $12 per hour. The company budgets variable overhead at the rate of $16 per direct labor hour and budgets fixed overhead of $9,300 per month.

1. Prepare a direct materials budget for April, May, and June.

2. Prepare a factory overhead budget for April, May, and June.