Jake's Bakery is considering a change in its inventory valuation method. Jake's currently uses FIFO method and is considering a change to the LIFO method. Jake's started the year on January 1 with inventory at a FIFO cost of $24,000 and a LIFO cost of $21,200. The ending inventory on December 31, is $25,850 at FIFO cost and $21,800 at LIFO cost. The LIFO effect is :

A. 6,850

B. 4,050

C. 2,800

D. 1,250