Als Wooden Turnings had the following quarterly sales last year:

First Quarter	32,000 units
Second Quarter	74,400 units
Third Quarter	95,200 units
Fourth Quarter	81,200 units

Sales for the upcoming year are expected to increase by 20 percent, and the anticipated average selling price is $2.50. As a policy, management wants to maintain a finished goods inventory of 10% of next quarters sales. The target ending inventory is 9,000 units and the beginning inventory carried over from the past year is 8,000 units. Compute the production budget estimates for next year and respond to the following question: What are the production amounts for the second and fourth quarters and total units produced as shown in the production budget for next year.

Select one:

a.

2Q = 74,400, Q4 = 81,200, and Total Annual production of 707,000 units

b.

2Q = 91,776, Q4 = 96,696, and Total Annual production of 340,360 units

c.

2Q = 89,280, Q4 = 97,440, and Total Annual production of 340,360 units

d.

2Q = 91,776, Q4 = 81,200, and Total Annual production of 707,000 units