the following information Charles Corp. has budgeted sales in units for the next five months as follows June July August September October 500 units 450 units 620 units 400 units 320 units Past experience has shown that the ending inventory for each month must be equal to The 10% of the next month's sales in units. The inventory on May 31 contained 25 units. company needs to prepare a production budget for the third quarter of the year. 11. The beginning inventory in units for September is: A. 38 units B. 46 units C. 40 units D. 72 units 12. The total number of units to be produced in July is: A. 467 units B. 999 units C. 245 units D. 300 units 13. The desired ending inventory for August is: A. 72 units B. 40 units C. 54 units D. 38 units 14. All other things the same, in periods of increasing sales, net operating income will tend to increase more rapidly in a company with high fixed costs and low variable costs than in a company with high variable costs and low fixed costs. A. True B. False C. Unable to determine D. Bohemian Rhapsody