1. Frolic Corporation has budgeted sales and production over the next quarter as follows: Sales in units Production in units July 70,000 AugustSeptember 83,000 84,750 73,250 91,750 The company has 17,500 units of product on hand at July 1.25% of the next month's sales in units should be on hand at the end of each month. October sales are expected to be 97,000 units. Budgeted sales for September would be (in units): A) 88,000 B) 90,000 C) 86,000 D) 84,000 2. Fiwrt Corporation manufactures and sells stainless steel coffee mugs. Expected mug sales Fiwrt (in units) for the next three months are as follows: October 30,000 November December Budgeted unit sales 34,000 Fint likes to maintain a finished goods inventory equal to 30% of the next month's estimated sales. How many mugs should Fiwrt plan on producing during the month of November? A) 35,400 mugs B) 26,800 mugs C) 36,000 mugs D) 34,300 mugs 3. Reaser Corporation makes one product April 8,400 June 12,600 July 13,100 8,700 Budgeted unit sales Each unit of finished goods requires 4 pounds of raw materials. The ending finished goods equals 10% of the following month's sales. The ending raw materials inventory equals 40% of the following month's raw materials production needs. If 50,600 pounds of raw materials are required for production in June, then the budgeted raw material purchases for May is closest to: A) 56,600 pounds B) 42,056 pounds C) 71,144 pounds D) 36,360 pounds