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Down Under Products, Limited, of Australia has budgeted sales of its popular boomerang...

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Accounting

Down Under Products, Limited, of Australia has budgeted sales of its popular boomerang for the next four months as follows:
Unit Sales
April 50,000
May 75,000
June 90,000
July 80,000
The company is now in the process of preparing a production budget for the second quarter. Past experience has shown that end-of-month inventory levels must equal 10% of the following months unit sales. The inventory at the end of March was 5,000 units.
Required:
Prepare a production budget by month and in total, for the second quarter.

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