Jackson Inc. produces leather handbags. The production budget for the next four months is: July 5,400 units, August 7,000 units, September 8,400 units, October 8,100 units. Each handbag requires 0.4 square meters of leather. Jackson Inc.'s leather inventory policy is 25% of next month's production needs. On July 1 leather inventory was expected to be 540 square meters. Leather is expected to cost $9.00 per square meter in June, but go up to $10.00 per square meter in July. What is the expected cost of leather purchases in July? Multiple Choice $21,700 $23,200 $24,100 $24,200