Exercise 10-6 Penny Worth produces a vitamin-enhanced dog food that is sold in Kansas. The company expects sales to be 12,200 bags in January, 14,800 bags in February, 23,000 bags in March, and 25,600 bags in April. There are 1,380 bags on hand at the start of January. Penny Worth desires to maintain monthly ending inventory equal to 15 percent of next month's expected sales. Prepare the production budget for Penny Worth for the months of January, February, and March. Penny Worth Production Budget For the months of January, February, and March January February March Quarter Unit sales Add Desired ending inventory of finished units Total needed Less : Beginning inventory of finished units Units to be produced