Sunland Company's sales budget projects unit sales of part 198Z of 9,400 units in January, 11,000 units in February, and 12,500 units in March. Each unit of part 198Z requires 4 pounds of materials, which cost $2 per pound. Sunland Company desires its ending raw materials inventory to equal 40% of the next month's production requirements, and its ending finished goods inventory to equal 20% of the next month's expected unit sales. These goals were met at December 31, 2021.

Prepare a direct materials budget for January 2022.

Sunland Company's sales budget projects unit sales of part 198Z of 9,400 units in January, 11,000 units in February, and 12,500 units in March. Each unit of part 198Z requires 4 pounds of materials, which cost $2 per pound. Sunland Company desires its ending raw materials inventory to equal 40% of the next month's production requirements, and its ending finished goods inventory to equal 20% of the next month's expected unit sales. These goals were met at December 31,2021. Dronaron dirort matoriale hudaot far Innr, on