Denton Company

Denton Company manufactures three products (A, B, and C) from three raw materials (X, Y, and Z). The following table indicates the number of pounds of each material that is required to manufacture each type of product:

Product	Material X	Material Y	Material Z
A	2	3	2
B	2	1	2
C	3	2	2

The company has a policy of maintaining an inventory of finished goods on all three products equal to 25 percent of the next month's budgeted sales. Listed below is the sales budget for the first quarter of the current year:

Month	Product A	Product B	Product C
Jan.	10,000	11,000	12,000
Feb.	9,000	12,000	8,000
Mar.	11,000	10,000	10,000

Refer to Denton Company. Assuming that the company meets its required inventory policy, prepare a production budget for the first 2 months of the current year for each of the three products.