Prepare quarterly production budgets Exercise 2 Pletcher Company produces and sells automobile batteries, the heavy-duty HD-240. The 2020 sales budget is as follows. 2 Quarter HD-240 1 6.000 2 8.000 8.000 11,000 The January 1, 2020, inventory of HD-240 is 3.500 units. Management desires an ending inventory cach quarter equal to 50% of the next quarter's sales. Sales in the first quarter of 2021 are expected to be 30% higher than sales in the same quarter in 2020. Instructions: Prepare quarterly production budgets for quarter and in total for 2020. PLETCHER COMPANY Production Budget For the Year Ending December 31, 2020 Product HD-240 Quarter 2 Expected unit sales Amount Amount Add: Desired ending finished goods units) Formula Formula Total required units Formula Formula Less: Beginning finished goods units Formula Required production units Formula 1 Year 3 Amount Formula Formula Formula Formula 4 Amount Formula (2) Formula Formula Formula Formula Formula Formula