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Answer :
To determine how many pounds of raw materials should be purchased in July, you need to take into account any inventory carried over from previous months.
Assuming there is no inventory carried over, you would need to purchase the full amount required for production in August, which is 117,200 pounds. However, it is common practice to maintain a certain level of inventory for contingencies, such as unexpected increases in demand or supply chain disruptions. The amount of inventory to be carried over is typically determined by a company's inventory policy, which takes into account factors such as lead times, demand variability, and storage capacity. Therefore, the actual amount of raw materials to be purchased in July may vary depending on the specific circumstances of the company.
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