Brothers Ltd has budgeted the following unit sales:

2018			2019
Quarter	Units		Quarter	Units
1	60,000		1	40000
2	20,000
3	70,000
4	80,000

The finished goods inventory on hand on 31 December 2017 was 5,000 units. It is the company's policy to maintain a finished goods inventory at the end of each quarter equal to 15% of the next quarter's anticipated sales.

Required:

Prepare a production budget for 2018. Please type your answers in the table/template below. Marks will be deducted if no workings are shown.

[Answer here]

Brothers LTD
Production Budget
for the year ended 31 December 2018
				Quarter
	1	2		3		4
Expected unit sales
Desired ending finished goods units
Total required units
Less: Beginning finished goods units
Required production units

[Show workings here]