Everyday Wear Retail had the following balances and transactions during 2018:

Beginning Inventory	15 units at $71
June 10	Purchased 30 units at $85
December 30	Sold 20 units
December 31	Replacement cost $66

The company maintains its records of inventory on a perpetual basis using the first-in, first-out inventory costing method. Calculate the amount of ending Merchandise Inventory on December 31, 2018 using the lower-of-cost-or-market rule.

A.

$1,065

B.

$1,650

C.

$1,980

D.

$1,775