Production Budget Assume that Stillwater Designs produces two automotive subwoofers: S12L7 and S12L5. The S12L7 sells for $475, and the S12L5 sells for $300. Projected sales (number of speakers) for the coming five quarters are as follows: S12L7 S12L5 First quarter, 20Y1 800 1,300 Second quarter, 20Y1 2,200 1,400 Third quarter, 2011 5,600 5,300 Fourth quarter, 20Y1 4,600 3,900 First quarter, 20Y2 900 1,200 The vice president of sales believes that the projected sales are realistic and can be achieved by the company. Stillwater Designs needs a production budget for each product (representing the amount that must be outsourced to manufacturers located in Asia). Beginning inventory of S12L7 for the first quarter of 20Y1 was 340 boxes. The company's policy is to have 20% of the next quarter's sales of S12L7 in ending inventory. Beginning inventory of S12L5 was 170 boxes. The company's policy is to have 30% of the next quarter's sales of S12L5 in ending inventory. Prepare a production budget for each quarter for 20Y1 and for the year in total. Enter amounts as positive numbers. Stillwater Designs Production Budget for S12L7 For the Year Ended December 31, 20Y1 1st Qtr. 2nd Qtr. 3rd Qtr. 4th Qtr. 800 2,200 5,600 4,600 Sales 13,200 Desired ending inventory 440 1,120 920 180 2,660 Total needs 1,240 3,320 6,520 4,780 15,860 Less: Beginning inventory 340 440 1,120 920 2,820 Units produced 900 2,8Accounting numeric field 3,860 13,040 Stillwater Designs Production Budget for S12L5 For the Year Ended December 31, 20Y1 1st Qtr. 2nd Qtr. 3rd Qtr. 4th Qtr. Year Sales 1,300 1,400 5,300 3,900 11,900 Desired ending inventory 420 1,590 1,170 360 3,540 X Total needs 1,720 2,990 6,470 4,260 15,440 X Less: Beginning inventory 170 420 1,590 1,170 3,350 X Units produced 1,550 2,570 4,880 3,090 12,090