Mountain High makes and sells specialty mountain bikes. On June 30, the company had 50 bikes in finished goods inventory. The company’s policy is to maintain a bike inventory of 5 percent of the next month’s sales. The company expects the following sales activity for the third quarter of the year:
July ........ 1,200 bikes
August ........ 1,000 bikes
September ..... 900 bikes

Required
What is the projected production for August?