Use the information below to answer questions that follow:

Boko (Pty) Ltd have the following information in their books, which they want to use for planning purposes.

			Quarter 1	Quarter 2	Quarter 3	Quarter 4
Budgeted Sales in units			50,000	70,000	90,000	120,000
Desired	ending	inventory of	10,000	14,000	18,000	24,000
finished goods
Opening	inventory	of finished	7,000	10,000	14,000	18,000
goods
Direct labour hour used per unit			0.5	0.5	0.5	0.5
Selling Price			10	10	10	10
Direct labour cost per hour			3	3	3	3

Required:

a) For each quarter, calculate the:

i. Sales budget. (4 marks)

ii. Production budget. (8 marks)

iii. Direct labour budget.