Period	Fourth quarter	First quarter	Second quarter	Third quarter	Fourth quarter	First quarter
	2021	2022	2022	2022	2022	2023
Sales quantity	5000	6000	7000	8000	9000	10,000
Sales price per unit (SR)	80	90	90	95	95	100
The ending production inventory = 20% of the sales quantity for the next quarter	?
The ending inventory of material (10% of the material quantity for the next quarter)	2000 kilogram
End cash balance (SR)	10,000
Material per unit: 3 kilogram Material price: SR 4 direct labor hours to produce one unit = 2 hours The direct labor rate per hour is SR5 The variable overhead rate per Direct Labor hour is SR4 The quarterly fixed overhead cost is estimated at SR12,000 (includes SR2000 depreciation) The cost of package is SR2 per unit and the sales commission is 5% of the sales revenue. The quarterly fixed marketing cost is SR20,000 (includes SR5000 depreciation). The quarterly administrative expense is SR30,000 (includes 5000 depreciation). The cash sales is 40% of sales and the credit sales is 60% to collected next quarter. 70% of purchases is cash and 30% is on credit to collected next quarter (the cost of purchases for the fourth quarter 2021 was SA60,000) The company intend to has minimum cash balance at the end of each quarter SA10,000, in case of the end cash balance is less than SA10,000, the company will borrow by annual interest rate 12%, and repay if there is sufficient cash.