The following information relates to a company's inventory records for their 2009 fiscal year.

This company uses a periodic system.

#Units$Cost/UnitTotal CostBeg Invt Jan 1, '09400$2.10$840Purchases: Feb 11000$2.352,350Oct 15800$2.201,760

A physical count of inventory at year-end determined there were 500 units on hand. During the year, all sales were recorded at $5 per unit.

If the company uses FIFO, gross profit would be:

a. $4,650

b. $8,500

c. $3,850

d. $3,875