Tsiklauri Company produces plastic items, including plastic housing for humidifiers. Each housing requires 425 grams of plastic costing $0.34 per 10 grams. Tsiklauri moulds the plastic into the proper shape. Tsiklauri has budgeted production of the humidifiers for the next four months as follows:

_________________Units

March...................3,500

April.....................4,400

May.....................4,900

June.....................6,300

Inventory policy requires that sufficient plastic be in ending monthly inventory to satisfy 20 per- cent of the following month's production needs. The inventory of plastic at the beginning of March equals exactly the amount needed to satisfy the inventory policy.

Required:

Prepare a direct materials purchases budget for March, April, and May, showing purchases in units and in dollars for each month and in total.