Hillyard Company, an office supplies specialty store, prepares its master budget on a quarterly basis. The following data have been assembled to assist in preparing the master budget for the first quarter: a. As of December 31 (the end of the prior quarter), the company's general ledger showed the following account balances: Cash Accounts receivable Inventory $ 56,000 212,800 60,150 Buildings and equipment (net) 366,000 Accounts payable Common stock Retained earnings $ 89,925 500,000 105,025 $ 694,950 $ 694,950 b. Actual sales for December and budgeted sales for the next four months are as follows: December (actual) 266,000 $ January 401,000 $ February March 598,000 $ 313,000 $ April 209,000