Use the Information Below to Answer the Following Question(s)

Use the information below to answer the following question(s) .
Peabody Enterprises prepared the following sales budget:

The expected gross profit rate is 40% and the inventory at the end of February was $10,000. Desired inventory levels at the end of the month are 20% of the next month's cost of goods sold.
-What is the budgeted cost of goods sold for May at Peabody Enterprises?

A) $3,600
B) $7,200
C) $2,400
D) $4,800