Zira Co. reports the following production budget for the next four months.

April	April		May		June		July
Production (units)	702		730		736		716

Each finished unit requires four pounds of raw materials and the company wants to end each month with raw materials inventory equal to 20% of next months production needs. Beginning raw materials inventory for April was 562 pounds. Assume direct materials cost $3 per pound.

ZIRA CO. Direct Materials Budget For April, May, and June April 702 May June 730 736 units Budgeted production (units) Materials requirements per unit Materials needed for production (lbs.) Budgeted ending inventory (lbs.) Total materials requirements (lbs.) Beginning inventory (lbs.) Materials to be purchased (lbs.) Cost per lb. Total budgeted direct materials cost $ 3 $ 3 $ 3 per lb