Exercise 9-2 Sales and Production Budget [LO2] Fortin Limited produces and sells a single product, a wearable LED light for runners and cyclists. The analytics group at Fortin Limited has developed the following estimates for unit sales in the upcoming year. Budgeted unit sales First Quarter 24,600 Required: 1-a. Prepare the company's sales budget. Budgeted unit sales Selling price per unit Total Sales Second Quarter 21,300 The light sells for $60 per unit and all sales are on account. 75% of sales are expected to be collected in the quarter of sale, with the remainder in the following quarter. Accounts receivable at the beginning of the quarter were $170,000 and will all be collected during the first quarter of the year. First Quarter At the end of the previous quarter there were 2,600 units in finished goods inventory. The desired ending finished goods inventory at the end of each quarter is 10% of the next quarter's budgeted sales. Management expects sales in the fourth quarter of the upcoming year to be the same as the first quarter of the following year. Third Quarter 20,600 Second Quarter Fourth Quarter 22,200 Third Quarter Fourth Quarter Year