Brian Furniture, Inc. manufactures a variety of desks, chairs, tables, and shelf units which are sold to public school systems throughout the
Midwest. The controller of the company’s School Desk Division is currently preparing a budget for the second quarter of 2012. The following sales forecast has
been developed by the division’s sales manager:

The inventory of finished desk and chair sets at the end of each month must be equal to 30% of the budgeted sales for the next month. On April 1, there will be
1,950 units of desk and chair sets on hand.
Work-in-process inventories are negligible and can be safely ignored.
Each desk and chair set requires 10 board feet of pine planks. Pine planks cost $0.75 per board foot, and the division ends each month with enough pine to
cover 20% of the next month’s production requirements. This requirement will be met on April 1 of 2012.

Required:

Prepare a production budget and a materials purchases budget for April, May, and June and in total for the three-month period.