Question 2 A sales budget is given below far (6+6+5=17 Marks) inufacturing: December 31 , the firs goods at the end of each month must equal 20% of the next month's sales. However, December 31 , the finished goods inventory totalled only 4,000 units. ch unit of product requires three kilograms of specialized material. Since the production of this specialized aterial by Wellington's suppliers is sometimes irregular, the company has a policy of maintaining an ending rentory at the end of each month equal to 30% of the next month's production needs. This requirement had en met on Jamuary 1 of the current year. cialized material costs $0,60 per kilogram. One-half of a month's purchases of specialized material is paid in the month of purchase; the remainder is paid for in the following month. The accounts payable on wary 1 for purchases of materials during December will be $27,000. (3) Prepare a production budget for each of the months January through March. B) Prepare the company's direct material purchases budget showing the quantity of specialized material to be purchased each month for January, February, and March