Segal Company Has the Following Data The Cost of Goods Sold Percentage Is 80% of Sales

Multiple Choice

Segal Company has the following data:
$\begin{array}{ll}\text { Month }&\text { Budgeted Sales }\\\text { May } & \$ 46,000 \\\text { June } & 50,000 \\\text { July } & 52,000 \\\text { August } & 49,000\end{array}$
The cost of goods sold percentage is 80% of sales and the desired ending inventory level is 25% of next month's sales at cost.What is the beginning inventory on August 1?

A) $4,200
B) $8,450
C) $9,800
D) $10,400