Vendela has the following sales budget for the year ending December 31, 2013:
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| 1 | 2 | 3 | 4 | Year | |
| Expected unit sales | 4,000 | 3,500 | 5,000 | 5,500 | 18,000 |
On the basis of past experiences, Vendela Company believes it can meet future sales requirements by maintaining an ending inventory equal to 10% of the next quarter”s budgeted sales volume. On January 1, 2013, Vendela has beginning finished goods of 400 units. Vendela expects sales for the first quarter of 2014 to be 6,000 units.
Instructions
Prepare a production budget for Vendela Company for the year ending December 31, 2013.
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