4 Daisy Products Limited of Shenzhen China, manufactures and distributes toys throughout Southeast Asia Three cubic centimetres (cc) of solvent 080 are required to manufacture each unit of Finecay, one of the company's products. The company is now planning raw materials needs for the third quarter the quarter in which peak sales of Fine clay occur. To keep production and sales moving smoothly, the company has the following inventory requirements: The finished goods inventory on hand at the end of each month must be equal to 4.350 units of Fineclay plus 20% of the next month's sales. The finished goods inventory on June 30 is budgeted to be 14,500 units b. The raw materials inventory on hand at the end of each month must be equal to one-half of the following month's production needs for raw materials. The raw materials inventory on June 30 is budgeted to be 78,300 cc of solvent 280 The company maintains no work in process inventories A sales budget for Fine clay for the last six months of the year fotows. Budgeted sales July August September October November December in Units 50, 750 58,000 72.500 43,500 29.000 14,500 4 Required: 1. Prepare a production budget for Fineclay for the months of July to October + - DAISY PRODUCTS LIMITED Production Budget July August 50.750 58.000 References September 72 500 October 43.500 Budgeted sales funta Add Desired ending inventory Total needs Deduct Beginning inventory Required production 2. This part of the question is not part of your Connect assignment 3. Prepare a budget showing the quantity of solvent 080 to be purchased for July, August, and September, and for the quarter in total September Third Quarter DAISY PRODUCTS LIMITED Raw Materials Purchases Budget July August Production needs foc) 50.750 Add: Desired ending Inventory Total solvent 80 reeds Deduct Beginning inventory Solvent purchases (oc)