Down Under Products' sales budget for the next four months is as follows: April May June July Unit Sales 88,000 90,000 128,000 99,000 The company wants its ending inventory levels to equal 15% of the following month's unit sales. The inventory at the end of March was 13,200 units. Required: Prepare a production budget, by month and in total, for the second quarter. Budgeted unit sales Add: Desired units of ending finished goods inventory Total needs Less: Units of beginning finished goods inventory Required production in units Down Under Products, Limited Production Budget + April 88,000 88,000 88,000 May 90,000 90,000 90,000 June 128,000 128,000 128,000 Quarter 306,000 306,000 306,000

Down Under Products' sales budget for the next four months is as follows: The company wants its ending inventory levels to equal 15% of the following month's unit sales. The inventory at the end of March was 13,200 units. Required: Prepare a production budget, by month and in total, for the second quarter