Required information Ramos Co, provides the following sales forecast and production budget for the next four months: April May June 530 500 July 600 540 Sales (units Budgeted production (units) 442 The company plans for finished goods inventory of 120 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 30% of next month's production needs. Beginning direct materials inventory for April was 663 pounds. Direct materials cost $2 per pound. Each finished unit requires 0.50 hours of direct labor at the rate of $16 per hour. The company budgets variable overhead at the rate of $20 per direct labor hour and budgets fixed overhead of $8.000 per month Prepare a direct materials budget for April, May, and June RAMOS CO Direct Materials Budget For April, May, and June April 442 580 116 5001 Budget production (units) 570 5.44 units 530 600 lbs Materials needed for production (lbs.) Prepare a direct materials budget for April, May, and June. RAMOS CO. Direct Materials Budget For April, May, and June April May June Budget production (units) a 442|| 570544 580 1530600 Materials needed for production (lbs.) 116 500 Total materials requirements (lbs.) 616 616 1 Materials to be purchased (lbs.) 0 0 0 Materials price per pound $ 442.00 $ 442.00 $ 442.00 Budgeted cost of direct materials purchases Ol8 SO Il