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

Month

Sales in

Units

April

200,000

May

300,000

June

360,000

July

320,000

The company is making a production budget for the 2nd quarter. Past experience has shown that month-end inventory levels must equal 40% of the following month's sales in units. The March end inventory was 20,000 units

Required:

Prepare a production budget for the second quarter; in your budget, show the number of units to be produced each month and for the quarter in total.