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The Foundational $15($Algo$)[$LO$8-2,$ LO$8-3,$ LO$8-4,$ LO$8-5,$ LO$8-7,$ LO$8-9,$ LO$8-10]$

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Morganton Company makes one product and it provided the following information to help prepare the master budget:

The budgeted selling price per unit is $$70.$ Budgeted unit sales for June, July, August, and September are $8,800,19,000,21,000,$ and $22,000$ units, respectively. All sales are on credit.

Thirty percent of credit sales are collected in the month of the sale and $70\%$ in the following month.

The ending finished goods inventory equals $20\%$ of the following month$$s unit sales.

The ending raw materials inventory equals $10\%$ of the following month$$s raw materials production needs. Each unit of finished goods requires $5$ pounds of raw materials. The raw materials cost $$2\mathrm{.}40$ per pound.

Twenty five percent of raw materials purchases are paid for in the month of purchase and $75\%$ in the following month.

The direct labor wage rate is $$12$ per hour. Each unit of finished goods requires two direct labor$-$hours.

The variable selling and administrative expense per unit sold is $$2\mathrm{.}00.$ The fixed selling and administrative expense per month is $$69,000.$

Foundational $8-5($Algo$)$

$5.$ If $106,000$ pounds of raw materials are needed to meet production in August, how many pounds of raw materials should be purchased in July?