Exercise 5-12 High Flyers manufactures competition stunt kites. In November, Jerry Box prepared the following production budget for the first quarter of the coming year. Desired ending inventory is based on the following month's budgeted sales. Budgeted sales Desired ending inventory Kites needed Less beginning inventory Budgeted production JanuaryFebruary March Quarter 22,900 37,000 32,500 92,400 3,000 30,300 43,500 35,500 95,400 4,580 36,100 29,000 90,820 7,400 6,500 3,000 4,580 25,720 7,400 6,500 Following higher-than-expected sales in December, Jerry conducted an inventory count on January 2 and discovered that the company had only 2,400 completed kites on hand. He decided that given the brisk sales in December, the company should increase its desired ending inventory level from 20 to 25 percent of the next month's sales volume (a) Prepare a new production budget for the first quarter. (Round answers to 0 decimal places, e.g. 5,275.) January February March Quarter