I can not figure out how to complete question number three

AutoSave OFF Home Insert Draw Page Layout Final Exam Part 2 Sarah Berman - Saved to my Mac Formulas Data Review View Times New Roman |12 AA Paste de Wrap Text v B I UV General DV Av = Merge & Center v $ v % " 00 20 Conditional Format Cell Formatting as Table Insert X Delete B33 Styles A D E F G H K M 0 Q R S (18 points) Joy LLC is a company manufactures and distributes toys throughout East Asia. Three cubic centimeters (cc) of solvent F500 are required to manufacture each unit of $10, one of the company's products. 2 The company now is planning raw materials needs for the third quarter, the quarter in which peak sales of $10 occur. To keep production and sales moving smoothly, the company has the following inventory requirements: 3 4 a. The finished goods inventory on hand at the end of each month must equal 3,000 units of $10 plus 20% of the next month's sales. The finished goods inventory on June 30 is budgeted to be 10,000 units. 5 b . The raw materials inventory on hand at the end of each month must equal one-half of the following month's production needs for raw materials. The raw materials inventory on June 30 is budgeted to be 54,000 cc of solvent F500. 6 C. The company maintains no work in process inventories. 8 A monthly sales budget for $10 for the third and fourth quarters of the year follows. 9 10 Budgeted Unit Sales 11 July 35,000 12 August 40,000 13 September 50,000 14 October 30,000 15 November 20,000 16 December 10,000 17 18 Required: 19 1 . Prepare a production budget for $10 for the months July, August, September, and October. Examine the production budget that you prepared in (1) above. Why will the company produce more units than it sells in July and August, and fewer units than it sells in September and October? 20 2. Prepare a direct materials budget showing the quantity of solvent F500 to be purchased for July, August, and September, and for the quarter in total. 21 3