Thomas Cycles manufactures chainless bicycles. On March 31, Thomas Cycles had 109 bikes in inventory. The company has a policy that the ending inventory in any month must be 10%

of the following month's expected sales. Thomas Cycles expects to sell the following number of bikes in each of next four months:

April. . . . . . . . . . . . . . . . . . . . 1,090 bikes

May. . . . . . . . . . . . . . . . . . 1,150 bikes

June. . . . . . . . . . . . . . . . . 1,370 bikes

July. . . . . . . . . . . . . . . . . . . . 1,220 bikes

Prepare a production budget for the second quarter, with a column for each month and for the quarter.

Thomas Cycles
Production Budget
For the Months of April through June
	April	May	June	Quarter
Unit sales
Plus: Desired ending inventory
Total needed
Less: Beginning inventory
Units to produce