Oriole Company estimates its sales at 160000 units in the first quarter and that sales will increase by 16000 units each quarter over the year. They have, and desire, a 25% ending inventory of current quarter's sales in units. Each unit sells for $35. 40% of the sales are for cash. 70% of the credit customers pay within the quarter. The remainder is received in the quarter following sale.

Production in units for the third quarter should be budgeted at

184000.

192000.

244000.

196000.