Assume Skysong, Inc. uses the periodic inventory system and has a beginning inventory balance of $5700, purchases of $76000, and sales of $120000. Skysong closes its records once a year on December 31. In the accounting records, the inventory account would be expected to have a balance on December 31 prior to adjusting and closing entries that was

equal to $5700.

more than $5700.

less than $5700.

indeterminate.