2 pts Question 1 What if Clapton Company in Example 9-10 changed their desired ending inventory level to equal 16.6% of next quarter's budgeted sales instead of 20%. How many budgeted units would be produced in the 2nd quarter (April-June)? Round your answer to the nearest whole unit. Example #1 PRODUCTION BUDGET Clapton Company's sales budget shows the following projections for the year ending December 31, 2017: Quarters First (Jan-March) Second (April - June) Third (July-Sept) Fourth (Oct - Dec) Total Guitars 30,000 40,000 22,500 27,500 120,000 First Quarter 2018 34,500 Inventory at December 31, 2016 was budgeted at 6000 guitars. The quantity of finished goods inventory at the end of each quarter is to equal 20 percent of the next quarter's budgeted unit sales. How much should the production budget show for units to be produced for each quarter in 2017? Example #2 DIRECT MATERIALS PURCHASES BUDGET Cobb Co. budgets sales of Product A at 200,000 uni for October. Production of one unit of Product A requires two gallons of Material Z. Actual beginning inventories and budgeted ending inventories for the month are as follows: Product A Material Z October 1 25,000 units 16 000 gallons October 31 8,000 units 21 000 gallons Compute the number of gallons of Material Z the company needs to purchase during October. 107 of 6 1507 words O Focus