WATERWAY COMPANY Direct Materials Budget For the Six Months Ending June 30, 2020 Quarter Units to be Produced Direct Materiats Per Unit. Total Pounds Needed for Production 1 2 Add Desired Ending Direct Materials (Pounds) Less v: Beginning Direct Materials (Pounds) Desired Ending Direct Materials (Pounds) Cost Per Pound On January 1, 2022, the Waterway Company budget committee has reached agreement on the following data for the 6 months ending June 30,2022. 3,540. The ending raw materials and finished goods inventories at December 31, 2021, follow the same percentage relationships to production and sales that occur in 2022. Three pounds of raw materials are required to make each unit of finished goods. Raw materials purchased are expected to cost $4 per pound