Taku-Tau Lid managements provided you with the following information to prepare the annual budgets Statement of Financial position (extract) as at 31 June 2020 NS Net Non-current assets 240 000 287 640 145 000 Inventory- Raw materials Work in progress Finished goods Receivables Cash & cash equivalents 441 000 225 000 72 000 600 000 648 540 Share capital Retained income Payables 162 000 The basis on which budgets are prepared Quarterly sales estimates in units 3rd quarter of 2020 4th quarter of 2020 1 quarter of 2020 15 000 12 000 12 000 Selling price per unit NS125 Inventory policies Finished goods - 30% of the following quarter's demand must be in stock at the end of each quarter Direct material - 40% of the following quarters demand must be in stock at the end of each quarter Manufacturing costs (per unit) BEUNDAC NS 2kg material A 1kg material B 36 15 Direct labour (2 hours) 24 Variable overheads (varies with labour hours) 16 Fixed overheads (based on a normal monthly 7 activity of 5 000 units) Administrative and marketing costs Advertisements NS 12 000 per quarter Commission NS6.25 per unit Administrative NS90 000 per quarter Cash payment policy All direct materials are purchased on credit 65% of these purchases is paid during the quarter in which they are made. and the rest is paid during the following quarter. All other payments are made as the expenses occur Experience of debtors collections: 25% of the sales are cash sales and the rest is sales on credit 50% of the credit sales are paid during the month in which the sales occur and the rest during the following month (assume equal monthly sales in each quarter) Additional information: Prices costs and the manufacturing process remain unchanged. Income tax rate 50% Depreciation is provided for at 20% per annum on the reducing balance method and is included in the faced manufacturing overheads The company is planning to purchase and install new equipment to the value of NS 10 000 at the end of September 2020 The value of the work in progress remains unchanged during the year Variances in production costs are written off against the cost of sales and inventories are always valued at standard costs Required: Calculate the budgeted units of production for the 3" quarter. f Taku-Tau Lid managements provided you with the following information to prepare the annual budgets Statement of Financial position (extract) as at 31 June 2020 NS Net Non-current assets 240 000 287 640 145 000 Inventory- Raw materials Work in progress Finished goods Receivables Cash & cash equivalents 441 000 225 000 72 000 600 000 648 540 Share capital Retained income Payables 162 000 The basis on which budgets are prepared Quarterly sales estimates in units 3rd quarter of 2020 4th quarter of 2020 1 quarter of 2020 15 000 12 000 12 000 Selling price per unit NS125 Inventory policies Finished goods - 30% of the following quarter's demand must be in stock at the end of each quarter Direct material - 40% of the following quarters demand must be in stock at the end of each quarter Manufacturing costs (per unit) BEUNDAC NS 2kg material A 1kg material B 36 15 Direct labour (2 hours) 24 Variable overheads (varies with labour hours) 16 Fixed overheads (based on a normal monthly 7 activity of 5 000 units) Administrative and marketing costs Advertisements NS 12 000 per quarter Commission NS6.25 per unit Administrative NS90 000 per quarter Cash payment policy All direct materials are purchased on credit 65% of these purchases is paid during the quarter in which they are made. and the rest is paid during the following quarter. All other payments are made as the expenses occur Experience of debtors collections: 25% of the sales are cash sales and the rest is sales on credit 50% of the credit sales are paid during the month in which the sales occur and the rest during the following month (assume equal monthly sales in each quarter) Additional information: Prices costs and the manufacturing process remain unchanged. Income tax rate 50% Depreciation is provided for at 20% per annum on the reducing balance method and is included in the faced manufacturing overheads The company is planning to purchase and install new equipment to the value of NS 10 000 at the end of September 2020 The value of the work in progress remains unchanged during the year Variances in production costs are written off against the cost of sales and inventories are always valued at standard costs Required: Calculate the budgeted units of production for the 3" quarter. f