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1. Cavalier Bicycles uses carbon fiber to produce its high-performance road and mountain bikes. Cavalier anticipates it will need to purchase 45,000 pounds of carbon

1. Cavalier Bicycles uses carbon fiber to produce its high-performance road and mountain bikes. Cavalier anticipates it will need to purchase 45,000 pounds of carbon fiber in July 2025 to make enough bikes to meet its fourth-quarter sales demand. However, if the price of carbon fiber increases, the cost to produce the bikes will increase and in turn lower Cavalier's profit margins

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