Sheridan Company makes and sells artistic frames for pictures. The controller is responsible for preparing the master budget and has accumulated the following information for 2022.

		January		February		March		April		May
Estimated unit sales		10,560		12,320		11,440		9,680		9,680
Unit selling price		$60		$57.5		$57.5		$57.5		$57.5
Direct labor hours per unit		2.0		2.0		1.5		1.5		1.5
Direct labor cost per hour		$6.0		$6.0		$6.0		$7.0		$7.0

Sheridan has a labor contract that calls for a wage increase to $7.0 per hour on April 1. New labor-saving machinery has been installed and will be fully operational by March 1. Sheridan expects to begin the year with 15,488 frames on hand and has a policy of carrying an end-of-month inventory of 100% of the following months sales, plus 40% of the second following months sales.

(a)

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Your answer is partially correct.

Prepare a production budget for Sheridan Company by month and for the first quarter of the year.

SHERIDAN COMPANY Production Budget choose the accounting period For the Quarter Ending March 31, 2022For the Year Ending March 31, 2022March 31, 2022
		Jan		Feb		Mar		Total
select an opening production budget item Direct Materials PurchasesBeginning InventoryTotal Required UnitsDesired Ending Direct MaterialsRequired Production UnitsBeginning Direct MaterialsDirect Materials Per UnitSales in UnitsTotal Materials RequiredDesired Ending Inventory		enter a number of units		enter a number of units		enter a number of units		enter a number of units
select between addition and deduction AddLess: select a production budget item Required Production UnitsBeginning InventorySales in UnitsDesired Ending Direct MaterialsBeginning Direct MaterialsTotal Required UnitsTotal Materials RequiredDirect Materials PurchasesDirect Materials Per UnitDesired Ending Inventory		enter a number of units		enter a number of units		enter a number of units		enter a number of units
select a summarizing line for the first part Desired Ending InventoryDirect Materials PurchasesTotal Required UnitsRequired Production UnitsDesired Ending Direct MaterialsTotal Materials RequiredSales in UnitsBeginning InventoryBeginning Direct MaterialsDirect Materials Per Unit		enter a total number of units for the first part		enter a total number of units for the first part		enter a total number of units for the first part		enter a total number of units for the first part
select between addition and deduction AddLess: select a production budget item Direct Materials PurchasesBeginning Direct MaterialsBeginning InventoryTotal Required UnitsDesired Ending Direct MaterialsDirect Materials Per UnitTotal Materials RequiredDesired Ending InventorySales in UnitsRequired Production Units		enter a number of units		enter a number of units		enter a number of units		enter a number of units
Total Required Units Desired Ending InventoryDirect Materials PurchasesTotal Materials RequiredDesired Ending Direct MaterialsDirect Materials Per UnitRequired Production UnitsBeginning Direct MaterialsBeginning InventoryTotal Required UnitsSales in Units