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A sales budget is given below for one of the products manufactured by the OMI Co.: Month Sales (units) January 25,000 February 40,000 March 65,000

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A sales budget is given below for one of the products manufactured by the OMI Co.: Month Sales (units) January 25,000 February 40,000 March 65,000 April 45,000 May 35,000 June 30,000 The inventory of finished goods at the end of each month must equal 20% of the next month's sales. On December 31, the finished goods inventory totaled 6,000 units. Required: a) Prepare a production budget each month for January, February, and March, and in total for the quarter. 12 marks

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