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Down Under Products, Ltd. of Australia has budgeted sales of its popular boomerang for the...

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Accounting

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Down Under Products, Ltd. of Australia has budgeted sales of its popular boomerang for the next four months as follows: April May June July Unit Sales 62,600 80,000 102,080 86,600 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 month's unit sales. The inventory at the end of March was 6,200 units. Required: Prepare a production budget by month and in total, for the second quarter. May June Quarter Down Under Products, Ltd.. Production Budget April Budgeted unit sales Add: Desired units of ending finished goods inventory Total needs 0 Less: Units of beginning finished goods inventory Required production in units 0 0 0 0 0 0 0

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