Standard Company has the following sales budget and production budget for the first two months of the current year (note January's beginning inventory is 200 units and that March's expected sales in units is 700 units): View the sales budget. View the production budget Prepare a new sales budget and production budget based on a change in projected February sales, which are now expected to be 1,700 units instead of 1,400 units. Prepare the sales budget. Standard Company Sales Budget January and February Budgeted units to be sold Sales price per unit Total sales Prepare the production budget. January 200 Budgeted units to be sold Plus: Desired units in ending inventory Total units needed Less: Units in beginning inventory Budgeted units to be produced February Standard Company Production Budget January and February January Total February Sales Budget Total Standard Company Sales Budget January and February January Budgeted units to be sold Sales price per unit Total sales Print $ $ February 1,100 15 $ 16,500 $ Done 1,400 15 $ 21,000 $ Total 2,500 15 37,500 - X Production Budget Standard Company Production Budget January and February Budgeted units to be sold Plus: Desired units in ending inventory at 10% of next month's needs Total units needed Less: Units in beginning inventory Budgeted units to be produced Print January 1,100 140 1,240 200 1,040 Done February Total 1,400 2,500 70 1,470 140 1,330 70 2,570 200 2,370

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