Vargas Company uses the perpetual inventory method. Vargas purchased 800 units of inventory that cost $9 each. At a later date the company purchased an additional 1,200 units of inventory that cost $10 each. Vargas sold 900 units of inventory for $13. If Vargas uses a FIFO cost flow method, the amount of cost of goods sold appearing on the income statement will be:

$3,500.$7,200.$2,700.$8,200.