The McGrath Company has prepared a sales budget of 48,000 finished units for a 3-month period. The company has an inventory of 10,000 units of finished goods on hand at December 31 and has a target finished goods inventory of 11,000 units at the end of the succeeding quarter. It takes 4 gallons of direct materials to make one unit of finished product. The company has inventory of 60,000 gallons of direct materials at December 31 and has a target ending inventory of 58,000 gallons at the end of the succeeding quarter. How many gallons of direct materials should McGrath Company purchase during the 3 months ending March 31? Select the labels and enter the amounts to calculate the direct materials (gallons) to be purchased. Direct Material Purchases Budget For the 3 Months Ending March 31 Purchases to be made (in gallons) To be used in production Total requirements Add beginning inventory Add target ending inventory Deduct beginning inventory Deduct target ending inventory