Vista Electronics, Inc., manufactures two different types of coils used in electric motors. In the fall of the current year, Erica Becker, the controller, compiled the following data.

• Sales forecast for 20x0 (all units to be shipped in 20x0):

Product	Units			Price
Light coil		50,000		$	200
Heavy coil		30,000			300

• Raw-material prices and inventory levels:

Raw Material	Expected Inventories, January 1, 20x0				Desired Inventories, December 31, 20x0				Anticipated Purchase Price
Sheet metal		28,000	lb.			32,000	lb.		$	17
Copper wire		25,000	lb.			28,000	lb.			8
Platform		5,000	units			6,000	units			4

• Use of raw material:

	Amount Used per Unit
Raw Material	Light Coil				Heavy Coil
Sheet metal		3	lb.			4	lb.
Copper wire		1	lb.			2	lb.
Platform						2	unit

• Direct-labor requirements and rates:

Product	Hours per Unit				Rate per Hour
Light coil		3			$	10
Heavy coil		5				15

• Finished-goods inventories (in units):

Product	Expected January 1, 20x0				Desired December 31, 20x0
Light coil		15,000				20,000
Heavy coil		8,500				9,500

• Production overhead:

Overhead Cost Item	Activity-Based Budget Rate
Purchasing and material handling	$	0.60	per pound of sheet metal and copper wire purchased
Depreciation, utilities, and inspection	$	5.00	per coil produced (either type)
Shipping	$	1.00	per coil shipped (either type)
General production overhead	$	3.00	per direct-labor hour

Production Budget (in units) for 20x0 Light Coils Heavy Coils Projected sales Total requirements Production required (units)