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A skin lotion product company has budgeted sales of its popular boomerang for the next four months as follows: April May June July Sales

 

A skin lotion product company has budgeted sales of its popular boomerang for the next four months as follows: April May June July Sales in Units 50,000 75,000 90,000 80,000 The company is now in the process of preparing a production budget for the second quarter. Past experience has shown that end-of-month inventory levels must equal 10% of the following month's sales. The inventory at the end of March was 5,000 units. Required: Prepare a production budget for the second quarter; in your budget, show the number of units to be produced each month and for the quarter in total.

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