Problem
Jackson Incorporated produces leather handbags. The production budget for the next four months is: July 5,100 units, August 7,800 units, September 8,400 units, October 8,700 units. Each handbag requires 0.4 square meters of leather. Jackson Incorporated's ending leather inventory policy is 40% of next month's production needs. On July 1 leather inventory was expected to be 1,500 square meters. What will leather purchases be in August?