Yandell expects to produce 1,950 units in January and 2,200 units in February. The company budgets two pounds per unit of direct materials at a cost of $40 per pound. Indirect materials are insignificant and not considered for budgeting purposes. The balance in the Raw Materials Inventory account (all direct materials) on January 1 is 5,500 pounds. Yandell desires the ending balance in Raw Materials Inventory to be 60% of the next month's direct materials needed for production. Desired ending balance for February is 4,000 pounds. Prepare Yandell's direct materials budget for January and February. Yandell Company Direct Materials Budget Two Months Ended January 31 and February 28 January February Budgeted units to be produced 1,950 2,200 2 2 Direct materials (pounds) per unit Direct materials needed for production 3,900 4,400 Plus: Desired direct materials in ending inventory (pounds) 2,640 4,000 Total direct materials needed 6,540 8,400 Less: Budgeted purchases of direct materials Direct materials cost per pound Budgeted cost of direct materials purchases