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Down Under Products, Ltd., of Australia has budgeted sales of its popular boomerang for the next four months as follows: Unit Sales April 56,000 May

Down Under Products, Ltd., of Australia has budgeted sales of its popular boomerang for the next four months as follows:

Unit Sales
April 56,000
May 75,000
June 96,000
July 83,000

The company is now in the process of preparing a production budget for the second quarter. Past experience has shown that end-of-month inventory levels must equal 10% of the following months unit sales. The inventory at the end of March was 5,600 units.

Required:

Prepare a production budget by month and in total, for the second quarter.

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