The marketing department of Graber Corporation has submitted the following sales forecast for the upcoming fiscal year. Budgeted unit sales First Quarter Second Quarter Third Quarter Fourth Quarter 18,000 17,000 16,000 17,000 The selling price of the company's product is $30.00 per unit. Management expects to collect 70% of sales in the quarter in which the sales are made and 20% in the following quarter, and 10% of sales are expected to be uncollectible. The beginning balance of accounts receivable, all of which is expected to be collected in the first quarter, is $86,000. The company expects to start the first quarter with 5,200 units in finished goods inventory. Management desires an ending finished goods inventory in each quarter equal to 15% of the next quarter's budgeted sales. The desired ending finished goods inventory for the fourth quarter is 5,400 units. Required: 1-a. Compute the company's total sales. 1st Quarter $ 540,000 2nd Quarter $ 510,000 Answer is complete and correct. 3rd 4th Year Quarter Quarter $ 480,000 $ 510,000 $2,040,000 Total Sales 1-b. Complete the schedule of expected cash collections. Answer is complete and correct. 4th Quarter Year 0 $ 0 $ 86,000 0 Graber Corporation Schedule of Expected Cash Collections 1st Quarter 2nd Quarter 3rd Quarter $ 86,000$ $ 378,000 $ 108,000 0 0 357,000 $ 102,000 0 0 336,000 0 464,000 $ 465,000 438,000 Accounts receivable, beginning balance 1st Quarter sales 2nd Quarter sales 3rd Quarter sales 4th Quarter sales Total cash collections 0 486,000 459,000 432,000 357,000 $ 1,820,000 $ 96,000 357,000 $ 453,000 0 2. Prepare the company's production budget for the upcoming fiscal year. 1st Quarter Year Budgeted unit sales Add: Ending inventory Total units needed Deduct: Beginning inventory Required production 68,000 18,000 2,550 20,550 Answer is complete but not entirely correct. Graber Corporation Production Budget 2nd 3rd Quarter 4th Quarter Quarter 17,000 16,000 17,000 2,400 2,550 19,400 18,550 17,000 2,550 2,400 2,550 16,850 16,150 14,450 68,000 5,200 15,350 68,000