The company wants to end each month with ending finished goods inventory equal to 20% of next month's forecasted sales. Finished goods inventory on April 1 is 104 units. Assume July's budgeted production is 550 units. In addition, each finished unit requires six pounds (lbs.) of raw materials and the company wants to end each month with raw materials inventory equal to 30% of next months production needs. Beginning raw materials inventory for April was 965 pounds. Assume direct materials cost $5 per pound

RUIZ CO Direct Materials Budget For April, May, and June April May June 584 4 2,336 Budgeted production (units) Materials requirements per unit Materials needed for production (Ibs.) Budgeted ending inventory (Ibs.) Total materials requirements (Ibs.) Beginning inventory (lbs.) Materials to be purchased (Ibs.) Cost per lb Total budgeted direct materials cost units lbs. lbs. 4 4 4 per lb. RUIZ CO Direct Materials Budget For April, May, and June April May June 584 4 2,336 Budgeted production (units) Materials requirements per unit Materials needed for production (Ibs.) Budgeted ending inventory (Ibs.) Total materials requirements (Ibs.) Beginning inventory (lbs.) Materials to be purchased (Ibs.) Cost per lb Total budgeted direct materials cost units lbs. lbs. 4 4 4 per lb