Use the following information for the Quick Study below. Miami Solar manufactures solar panels for industrial use. The company budgets production of 5,600 units (solar panels) in July and 4,700 units in August. QS 20-13 Manufacturing: Direct materials budget LO P1 Each unit requires 2 pounds of direct materials, which cost $5 per pound. The company's policy is to maintain direct materials Inventory equal to 30% of the next month's direct materials requirement. As of June 30, the company has 3,360 pounds of direct materials in inventory, which complies with the policy. Prepare a direct materials budget for July. 5,600 2 MIAMI SOLAR Direct Materials Budget For Month Ended July 31 Budget production (units) Materials requirements per unit Materials needed for production (lbs.) Add: Budgeted ending inventory (lbs.) Total materials requirements (lbs) Less: Beginning inventory (lbs.) Materials to be purchased (lbs) Materials price per pound Budgeted cost of direct materials purchases 3,360 $ 5