Rad Co. provides the following sales forecast for the next four months:
| April | May | June | July |
Sales (units) | 500 | 580 | 530 | 600 |
The company wants to end each month with ending finished goods inventory equal to 20% of next month’s sales. Finished goods inventory on April 1 is 174 units. Assume July’s budgeted production is 540 units. Prepare a production budget for the months of April, May, and June.
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