Waterway Company has 1,950 kg of raw materials in its December 31, 2022, ending inventory. Required production for January and February is 4,780 and 6,200 units, respectively. 2 kilograms of raw materials are needed for each unit, and the estimated cost per kilogram is $5. Management wants an ending inventory equal to 25% of next month's materials requirements. Prepare the direct materials budget for January. Total cost of direct materials purchases WATERWAY COMPANY Direct Materials Budget For the Month Ending January 31, 2023 Desired ending inventory Total materials required Add v: Total cost of direct materials purchases Beginning materials inventory Less : Direct materials purchases Units to be produced Beginning materials inventory Direct materials purchases $ $ $ $ 44,500 53,800 12,000 $ 19,600 270,400