As a preliminary to requesting budget estimates of sales, costs, and expenses for the fiscal year beginning January 1, 2017, the following tentative trial balance as of December 31, 2016, is prepared by the Accounting Department of Regina Soap Co.:

Cash .............................................................85000

Accounts Receivable...............................................125600

Finished Goods ...................................................69300

Work in Process ...................................................32500

Materials .........................................................48900

Prepaid Expenses .................................................2600

Plant and Equipment ..............................................325000

Accumulated Depreciation-Plant and Equipment .......156200 

Accounts Payable .................................................62000

Common Stock, $10 par .......................................180000

Retained Earnings ................................................290700

                                                  688900               688900

$688,900 180,000 290,700 $688,900 Factory output and sales for 2017 are expected to total 200,000 units of product, which are to be sold at $5.00 per unit. The quantities and costs of the inventories at December 31, 2017, are expected to remain unchanged from the balances at the beginning of the year.