Purrfect Pets uses the perpetual inventory system. At the beginning of the quarter, Purrfect Pets has $43,000 in inventory. During the quarter the company purchases $9,850 of new inventory from a vendor, returned $1,250 of inventory to the vendor, and took advantage of discounts from the vendor of $330. At the end of the quarter the balance in inventory is $33,000. What is the cost of goods sold?

1. $20,350

2. $10,000

3. $18,270

4. $19,850