EA1. LO 7.2 Blue Book printing is budgeting sales of 25,000 units and already has 5,000 in beginning inventory. How many units must be produced to also meet the 7,000 units required in ending inventory? EA2. LO 7.2 How many units are in beginning inventory if 32,000 units are budgeted for sales, 35,000 units are produced, and the desired ending inventory is 9,000 units? EA3. LO 7.2 Navigator sells GPS trackers for $50 each. It expects sales of 5,000 units in quarter 1 and a 5% increase each subsequent quarter for the next 8 quarters. Prepare a sales budget by quarter for the first year. EA4. LO 7.2 One Device makes universal remote controls and expects to sell 500 units in January, 800 in February, 450 in March, 550 in April, and 600 in May. The required ending inventory is 20% of the next month's sales. Prepare a production budget for the first four months of the year. EAS. LO 7.2 Sunrise Poles manufactures hiking poles and is planning on producing 4,000 units in March and 3,700 in April. Each pole requires a half pound of material, which costs $1.20 per pound. The company's policy is to have enough material on hand to equal 10% of the next month's production needs and to maintain a finished goods inventory equal to 25% of the next month's production needs. What is the budgeted cost of purchases for March? EA6. LO 7.2 Given the following information from Rowdy Enterprises' direct materials budget, how much direct materials needs to be purchased? $ 75,800 Beginning materials inventory Ending materials inventory Materials needed for production 79,200 500,000 EA7. LO 7.2 Each unit requires direct labor of 2.2 hours. The labor rate is $11.50 per hour and next year's direct labor budget totals $834,900. How many units are included in the production budget for EAS, LO 72 How many units are estimated to be sold if Skyline, Inc., has a planned production of 900.000 units, a desired beginning inventory of 160,000 units, and a desired ending inventory of 100,000 units? EA9. LO 7.3 Cash collections for Wax On Candles found that 60% of sales were collected in the month of the sale, 30% was collected the month after the sale, and 10% was collected the second month after the sale. Given the sales shown, how much cash will be collected in January and February? Nov. $25,000 Dec. $35,000 Jan. $20,000 Feb. $25,000