Crest Products expects the following sales of its single product: b$.$ Prepare a direct materials purchases budget for Component Z for quarter ending December $31.$ Assume a desired ending inventory

for Component $Z$ of $14,000$ units at December $31,$ and a constant unit cost of $$4$ per lb $.$

Required:

Crest has an ending finished goods inventory policy of $30\%$ of the next month's sales needs. September $1$ inventory is projected to be

$7,100$ units. Each finished unit requires $2$ units of Component $x$ and $3$ units of Component $Z.$ August $1$ materials inventory includes

$5,000$ units of Component $x$ and $164,000$ units of Component $Z.$ Crest desires to maintain a Component $x$ inventory equal to $10\%$ of

next month's production needs and a Component $Z$ inventory equal to $20\%$ of next month's production needs.

a$.$ Prepare a production budget for Crest for the quarter ending December $31.$