Superior Inc. produces leather jackets for kids. The production budget for the next four months is: July 5,600 units, August 7,100 units, September 7,900 units, October 8,200 units. Each jacket requires 0.5 square meters of leather. Superior Inc.s leather inventory policy is 20% of next months production needs. On July 1 leather inventory was expected to be 1,400 square meters. How much leather purchase (in square meters) will be budgeted for the month of August?

Multiple Choice

• 3,630 square meters

• 7,260 square meters

• 7,185 square meters

• 3,480 square meters