Coronado manufactures competition stunt kites. In November, Jerry Box prepared the following production budget for the first quarter of the coming year. Desired ending inventory is based on the following month's budgeted sales.

Coronado manufactures competition stunt kites. In November, Jerry Box prepared the following production budget for the first quarter of the coming year. Desired ending inventory is based on the following month's budgeted sales. January February March Quarter Budgeted unit Sales 24,100 39,300 32,200 95,600 Budgeted ending inventory 7,860 6,440 2,870 2,870 Total units required 31,960 45,740 35,070 98,470 Beginning inventory 4,820 7,860 6,440 4,820 Budgeted production 27,140 37,880 28,630 93,650 Following higher-than-expected sales in December, Jerry conducted an inventory count on January 2 and discovered that the company had only 2,260 completed kites on hand. He decided that given the brisk sales in December, the company should increase its desired ending inventory level from 20 to 25 percent of the next month's sales volume. (a) Prepare a new production budget for the first quarter. (Round answers to 0 decimal places, e.g. 5,275.) January February March Quarter Budgeted unit sales 24,100 39,300 32,200 95,600 Budgeted ending inventory 9825 8050 > Total units required III Obll Beginning inventory 2260 9825 Budgeted production