Osage Inc. has actual sales for May and June and forecast sales for July, August, September, and October as follows:

Actual:
May	8,300	units
June	8,700	units
Forecast:
July	8,400	units
August	9,500	units
September	7,800	units
October	7,400	units

Required:

a. The firms policy is to have finished goods inventory on hand at the end of the month that is equal to 80% of the next months sales. It is currently estimated that there will be 6,600 units on hand at the end of June. Calculate the number of units to be produced in each of the months of July, August, and September.

b. Each unit of finished product requires four pounds of raw materials. The firms policy is to have raw material inventory on hand at the end of each month that is equal to 70% of the next months estimated usage. It is currently estimated that 26,000 pounds of raw materials will be on hand at the end of June. Calculate the number of pounds of raw materials to be purchased in each of the months of July and August.