Pargo Company is preparing its master budget for 2017. Relevant data pertaining to its sales, production, and direct materials budgets are as follows. Sa.es. Sales for the year are expected to total 1,200,000 units. Quarterly sales are 20%, 25%, 26%, and 29%, respectively. The sales price is expected to be S40 per unit for the first three quarters and S43 per unit beginning in the fourth quarter. Sales in the first quarter of 2018 are expected to be 15% higher than the budgeted sales for the first quarter of 2017. Production. Management desires to maintain the ending finished goods inventories at 25% of the next quarter's budgeted sales volume. Direct materials. Each unit requires 2 pounds of raw materials at a cost of S10 per pound. Management desires to maintain raw materials inventories at 10% of the next quarter's production requirements. Assume the production requirements for first quarter of 2018 are 510,000 pounds. Prepare the sales, production, and direct materials budgets by quarters for 2017