Acc561 Managerial Accounting: E9-4 Turney Company produces and sells automobile batteries

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Acc561 Managerial Accounting
Turney Company produces and sells automobile batteries, the heavy-duty HD-240. The 2008 sales budget is as follows.
Quarter HD-240
1 5,000
2 7,000
3 8,000
4 10,000
The January 1, 2008, inventory of HD-240 is 2,500 units. Management desires an ending inventory each quarter equal to 50% of the next quarter's sales. Sales in the first quarter of 2009 are expected to be 30% higher than sales in the same quarter in 2008.

Prepare quarterly production budgets for each quarter and in total for 2008.
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