2 Exercise 8-2 (Algo) Production Budget [LO8-3] 2 Down Under Products, Limited of Australia has budgeted sales of its popular boomerang for the next four months as follows: points Unit Sales April 78, 000 May 85, 000 June 118, 000 July 94, 000 The company is now in the process of preparing a production budget for the second quarter. Past experience has shown that end-of- month inventory levels must equal 20% of the following month's unit sales. The inventory at the end of March was 15,600 units. Required: Prepare a production budget by month and in total, for the second quarter. X Answer is complete but not entirely correct. Down Under Products, Limited Production Budget April May June Quarter Budgeted unit sales 54,0064X 75,000 X 94,000 X 2,230,000 X Add: Desired units of ending finished goods inventory 15,000 X 18,800 X 16,400 X 50,200 X