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Atlantic Surf manufactures surfboards. The company's budgeted sales units for the next three months is shown below. Company policy is to maintain finished goods inventory

Atlantic Surf manufactures surfboards. The company's budgeted sales units for the next three months is shown below. Company policy is to maintain finished goods inventory equal (in units) to 40% of the next month's unit sales. As of June 30, the company has 1,600 finished surfboards in inventory.
\table[[,July,August,September],[Budgeted sales units,4,000,6,500,3,500]]
Prepare the production budget for the months of July and August.
\table[[ATLANTIC SURF,,],[Production Budget,,],[,July,August],[Budgeted sales units,4,000,6,500],[Add: Desired ending inventory,,],[Next period budgeted sales units,I,],[Ratio of inventory to future sales,,],[Desired ending inventory units,4,000,6,500],[Total required units,,],[,,],[Units to be produced,,]]
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