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Goody Company estimates that unit sales will be 10,500 in quarter 1; 12,100 in quarter 2; 14,200 in quarter 3; and 18,700 in quarter 4.

Goody Company estimates that unit sales will be 10,500 in quarter 1; 12,100 in quarter 2; 14,200 in quarter 3; and 18,700 in quarter 4. Management desires to have an ending finished goods inventory equal to 22% of the next quarter's expected unit sales. Complete the production budget by quarters for the first 6 months of 2010.

GOODY COMPANY

Production Budget

For the Six Months Ending June 30, 2010

Quarter Quarter

Six

1

2

Months

Expected unit sales

_______ _______

_______

Add: Desired ending finished goods

_______ _______

_______

Total required units

_______ _______

_______

Less: Beginning finished goods inventory

_______ _______

_______

Required production units

_______ _______ _______

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