Exercise 21-4 turney company produces and sells automobile batteries, the heavy-duty hd-240. the 2017 sales forecast is as follows. quarter hd-240 1 5,100 2 7,330 3 8,220 4 10,240 the january 1, 2017, inventory of hd-240 is 2,040 units. management desires an ending inventory each quarter equal to 40% of the next quarter’s sales. sales in the first quarter of 2018 are expected to be 25% higher than sales in the same quarter in 2017. prepare quarterly production budgets for each quarter and in total for 2017.

Expert computers was started in 2018. the company experienced the following accounting events during its first year of operation: started business when it acquired $40,000 cash from the issue of common stock. purchased merchandise with a list price of $32,000 on account, terms 2/10, n/30. paid off one-half of the accounts payable balance within the discount period. sold merchandise on account for $28,000. credit terms were 1/20, n/30. the merchandise had cost expert computers $16,000. collected cash from the account receivable within the discount period. paid $2,100 cash for operating expenses. paid the balance due on accounts payable. the payment was not made within the discount period. required record the events in a horizontal statements model below. in the cash flows column, use the letters oa to designate operating activity, ia for investing activity, fa for financing activity, or nc for net change in cash. if the account is not affected by the event, leave the cell blank. the first event is recorded as an example. what is the amount of gross margin for the period? what is the net income for the period?