Sheridan Company estimates its sales at 120000 units in the first quarter and that sales will increase by 12000 units each quarter over the year. They have, and desire, a 25% ending inventory the current months sales. Each unit sells for $25. 40% of the sales are for cash. 70% of the credit customers pay within the quarter. The remainder is received in the quarter following sale. Production in units for the third quarter should be budgeted at

A

147000.

B

144000.

C

138000.

D

183000.