Problem 3 (Supplemental Problem #1)-Prepare various budgets Galaxy Lighting Company manufactures and sells lighting fixtures. Estimated sales for the next three months are: Budgeted sales: September October November 400,000 350,000 500,000 400,000 600,000 Janary Production budget information: The company maintains and end-of-month inventory of 1,000 units plus 10% of next month's unit expected sales. Each unit sells for $50. The company expects to sell 12,000 units in January of the following year Materials purchases budget information: Five units of material are required for each unit of finished goods produced. Galaxy wants to have materials on hand at the end of each month equal to 15 percent of the following month's production needs. The materials inventory on September 30 is 8,000 units of material. January production is budgeted for 15,000 units. Cash payments for materials purchases information: The purchase cost per unit of material is $2. Generally, 30% of materials purchases are due and payable in the month of purchase with the remainder due the following month. September purchases paid for in October are expected to equal $48,225. Required: a. Prepare a production budget for the fourth quarter of the year b. Prepare a materials purchases budget for the fourth quarter of the year. c. Prepare a cash payments for materials purchases budget for the fourth quarter of the year. What is Galaxy Lighting's accounts payable balance at December 317 **Templates have been provided on the next page