Palermo company estimates that unit sales will be 10700 in


Question - Palermo Company estimates that unit sales will be 10,700 in quarter 1; 12,400 in quarter 2; 14,900 in quarter 3; and 18,800 in quarter 4. Management desires to have an ending finished goods inventory equal to 22% of the next quarter's expected unit sales.

Prepare a production budget by quarters for the first 6 months of 2014.

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