Now that you have completed Month 1, you will see that your final demand for Month 1 was 7, and that was taken away from what you have available, leaving you with 24. This remaining inventory is carried over to Month 2 so your beginning on hand is 24.

Your receipts for this month is still 0 as expected. Next month, Month 3, you will receive what you ordered in Month 1. What you order this month will arrive in Month 4.