1. Prepare a production budget for September, October, November, and December for gif baskets. (Note: Round all answers to the nearest whole unit.) 3. Why do you think there is such a big difference in budgeted units from November to December? Why did Jani budget fewer units in January than in December? 1. December includes the holiday season and is a time when many gifts are given, Jaruary is a month of fewer gift giving occaslons. 2. December is the last month of the year so Jani has too budget all the balance units in her Annual budget to meet her targets: 3. None of the above: Jani Subramanian, owner of Jani's Howers and Gifts, produces gift baskets for various special occasions. Each gift basket includes fruit or assorted imail gifts (e.g. a coffee mug, deck of cards, novelty cocoa mixes, scented soap) in a basket that is wrapped in colorful cellophane. Jani has estimated the following unit sales of the standard gift basket for the rest of the year and for January of next year. Jani likes to have 6% of the next month's sales needs on hand at the end or each month. This requirement was met on August 31 . Two materials are needed for each fruit basket: The materials inventory policy is to have 6% of the next month's fruit needs on hand and 40% of the next month's production needs of small gifts. (The relatively low inventory amount for fruit is designed to prevent spolage.) Materlals inventory on August 31 met this company policy. the twpes of materials used in the production of gift baskets for the months of September, October, Jani's Flowers and Gifts Direct Materials Purchases Budget For September, October, and November Line Item Description September October November Fruit: Production Pounds of frut Required for production Desired ending inventory Total needs Less: Beginning inventory Pounds purchased Small gifts: Production ttems required Needed for production Desired inventory Total needs