Umellinnen Fog Jireh Tar 12:23 AM umellinneur He boolcshelf.vitalsource.com O Pag Apps @ Gmail YouTube Maps in The Interrelationshin Reading list Hradi 5.12 (LO 3) Preparing a production budget High Flyers manufactures competition stunt kites. In November, Jerry Box prepared the following production budget for the first quarter of the coming year. Desired ending inventory is based on the following month's budgeted sales. January February March Quarter Budgeted sales 41,000 34,000 37,000 112,000 Desired ending inventory 7,000 6,000 2,400 2,400 Kites needed 48,000 40,000 39,400 114,400 Less beginning inventory 4,000 7,000 6,000 4,000 Budgeted production 44,000 33,000 33,400 110,400 Following lower-than-expected sales in December, Jerry conducted an inventory count on January 2 and discovered that the company had 6,000 completed kites on hand. He decided that given the slow sales in December, the company should decrease its desired ending inventory level from 20 to 15% of the next month's sales volume. Required GE 1 solution 76.91 KE Less beginning inventory 4,000 7000 6,000 4,000 Budgeted production 44,000 33,000 33,400 110,400 Following lower-than-expected sales in December, Jerry conducted an inventory count on January 2 and discovered that the company had 6,000 completed kites on hand. He decided that given the slow sales in December, the company should decrease its desired ending inventory level from 20 to 15% of the next month's sales volume. Required a. Prepare a new production budget for the first quarter. b. What other components of the master budget will be affected by this change