Required information Ramos Co. provides the following sales forecast and production budget for the next four months. Sales (units) Budgeted production (units) April May June July 620 700 650 720 560 690 660 660 The company plans for finished goods inventory of 240 units at the end of June. In addition, each finished unit requires 6 pounds of direct materials and the company wants to end each month with direct materials inventory equal to 25% of nex month's production needs. Beginning direct materials inventory for April was 840 pounds. Direct materials cost $2 per pound. Each finished unit requires 0.30 hours of direct labor at the rate of $11 per hour. The company budgets variable overhead at the rate of $15 per direct labor hour and budgets fixed overhead of $9,200 per month. repare a direct materials budget for April, May, and June. Budget production (units) RAMOS CO. Direct Materials Budget For April, May, and June April Materials needed for production (lbs.) Total materials requirements (lbs.) Materials to be purchased (lbs.) Materials price per pound Budgeted cost of direct materials purchases May June 560 690 660 units 3 0 0 0 0