Turney Company produces and sells automobile batteries, the heavy-duty HD-240. The 2017 sales forecast is as follows.

Quarter HD-240 1 5,100 2 7,100 3 8,100 4 10,100

The January 1, 2017, inventory of HD-240 is 2,040 units. Management desires an ending inventory each quarter equal to 40% of the next quarters sales. Sales in the first quarter of 2018 are expected to be 25% higher than sales in the same quarter in 2017. Prepare quarterly production budgets for each quarter and in total for 2017.

TURNEY COMPANY Production Budget For the Month Ended December 31, 2017 For the Quarter Ended December 31, 2017 For the Year Ending December 31, 2017 Product HD-240 Quarter 1 2 3 4 Year Desired Ending Finished Goods Unit Direct Materials Per Unit Expected Unit Sales Total Materials Required Direct Materials Purchases Total Required Units Required Production Units Beginning Finished Goods Unit Beginning Direct Materials Desired Ending Direct Materials Add Less : Direct Materials Purchases Total Required Units Beginning Finished Goods Unit Expected Unit Sales Required Production Units Beginning Direct Materials Total Materials Required Desired Ending Direct Materials Direct Materials Per Unit Desired Ending Finished Goods Unit Desired Ending Direct Materials Total Materials Required Required Production Units Total Required Units Beginning Finished Goods Unit Beginning Direct Materials Desired Ending Finished Goods Unit Expected Unit Sales Direct Materials Per Unit Direct Materials Purchases Add Less : Beginning Direct Materials Desired Ending Direct Materials Expected Unit Sales Desired Ending Finished Goods Unit Beginning Finished Goods Unit Direct Materials Purchases Direct Materials Per Unit Total Materials Required Required Production Units Total Required Units Direct Materials Purchases Expected Unit Sales Direct Materials Per Unit Beginning Direct Materials Required Production Units Total Required Units Beginning Finished Goods Unit Total Materials Required Desired Ending Direct Materials Desired Ending Finished Goods Unit