The following production budget for the next four months was provided by Red Car Enterprises.

Each finished unit requires five pounds of raw materials and the company wants to end each month with raw materials inventory equal to 20% of next months production needs. Beginning raw materials inventory for April was 656 pounds. Assume direct materials cost $3 per pound.

Prepare a direct materials budget for April, May, and June. (Round your intermediate calculations and final answers to the nearest whole dollar amount.)

Production (units) April 656 May 710 June 688 July 668 ZIRA CO. Direct Materials Budget For April, May, and June April May June 5 lbs. 710 688 668 lbs. Budgeted production (units) Materials requirements per unit Materials needed for production (lbs.) Budgeted ending inventory (lbs.) Total materials requirements (lbs.) Beginning inventory (lbs.) Materials to be purchased (lbs.) Cost per lb. Total budgeted direct materials cost 656 710 688 lbs. $ 31 $ 3 $ 3 per lb