Dobson Company expects to begin operating on January 1. The company's master budget contained the following operating expense budget:

	January	February	March
Salary expense	$ 40,400	$ 36,400	$ 36,400
Sales commissions, 5% of sales	24,400	30,400	28,400
Utilities	2,880	2,880	2,880
Depreciation on store equipment	1,880	1,880	1,880
Rent	7,280	7,280	7,280
Miscellaneous	1,880	1,880	1,880
Total operating expenses	$ 78,720	$ 80,720	$ 78,720

Sales commissions are paid in cash in the month following the month in which the expense is recognized. All other expense items requiring cash payment are paid in the month in which they are recognized. The amount of cash to be paid for operating expenses during the month of January is:

A. $52,440

B. $78,000

C. None of the answers are correct