Calculating Sales and Production Budgets Rainwater Corp. expects to sell 600 umbrellas in May and 400 in June. Each umbrella sells for $15. Rainwater’s beginning and ending finished goods inventories...

Rainwater Corp. expects to sell 600 umbrellas in May and 400 in June. Each umbrella sells for $15. Rainwater’s beginning and ending finished goods inventories for May are 75 and 50 units, respectively. Ending finished goods inventory for June will be 60 units.

Required:

1. Prepare Rainwater’s sales budget for May and June.

2. Prepare Rainwater’s production budget for May and June.