Patrick Inc. makes industrial solvents. In the first 4 months of the coming year, Patrick expects the following unit sales: January February 41,000 March April 38,000 50,000 51,000 Patrick's policy is to have 17% of next month's sales in ending inventory. On January 1, it is expected that there will be 4,450 drums of solvent on hand. Required: Prepare a production budget for the first quarter of the year. Show the number of drums that should be produced each month as well as for the quarter in total. If required, round your answers to the nearest whole unit. Patrick Inc. Production Budget For the Coming Quarter January February March 1st Quarter Total Sales 41,000 38,000 50,000 129,000 Desired ending inventory 9.500 X 12,500 X 12,750 X 12,750 X Total needs 50.500 X 50,500 X 62,750 X 141,750 X Less: Beginning inventory 4,450 9,500 X 12.500 X 4,450 Units to be produced 46,050 X 41,000 X 50,250 X 137,300 X Check My Work Previous Next >