January 40,000 February 50,000 March 60,000

Finished goods inventory at the end of 2013 was 10,000 units. On average, 25 percent of the futons to be sold in the next month are produced and kept as ending Fantastic Futons manufactures futons. The estimated number of futon sales for the first three months of 2014 balance in finished goods inventory. The planned selling price is $150 per unit.

____ 3. How many futons are budgeted to be produced in January by Fantastic Futons?