Sebring Company has the following data:

Month

Budgeted Sales

April	$40,000
May	44,000
June	50,000
July	52,000
August	48,000

The cost of goods sold percentage is 70% of sales and the desired ending inventory level is 25% of next month's sales at cost. ________ was the beginning inventory on May 1.

A.

$7,700

B.

$8,750

C.

$11,000

D.

$3,300