EXERCISE 8-14 Sales and Production Budgets I() LO8-2, () LO8-3 The marketing department of Jessi Corporation has rubmitted the following sales forecast for the upcoming fical year (all sales are on eccount): The selline price of the cocopany's peoduct is $18.00 per unit. Manazement expects to collect 65% of sales in the quarter in which the sales are made, 30% in the followint quarter, and 5% of sales are expected to be uncollectible. The bepinning balance of accounts receivable, all of which is expected to be collected in the firtt quarter, is $70,200. The compuny expects to start the first quarter with 1,650 units in finished soods inventory. Management desires an ending finished goods inventory in each quarter equal to 15% of the next quarter's bodgeted sales. Tbe desired ending finished goods irventory for the fourth quarter is 1,850 units. Required: 1. Calculate the ectimated sales for each quarter of the fscal year and for the year as a whole. (Hint: Refer to (8) Schedule 1 for guidance) 2. Calculate the eqpected carh collections for each quarter of the fiscal yeur and for the jear as a whole. (Hint Refer to lis Schedale 1 for guidance.) 3. Calculate the required prodaction in units of finimbd soods for each quarter of the fiscal year and for the jear as a whola (Hint Refer to (A) Sehedale 2 for ruidance)