Shippen Company produces consumer products. The sales budget for four months of the year is presented below.

Required:
Prepare a production budget for the third quarter of the year. Show the number of units that should be produced each month as well as for the quarter in total.LO1

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July August September October Unit Sales Dollar Sales 23,400 $ 690,000 35,600 1,068,000 34,000 1,020,000 28,000 840,000 Company policy requires that ending inventories for each month be 20 percent of next month's sales. At the beginning of July, the beginning inventory of consumer products met that policy.