Calculate the cost of goods sold for a merchandiser using the periodic inventory system from the following details

Purchases $510,000
Beginning Merchandise Inventory 175,000
Purchase Returns and Allowances 50,000
Purchase Discounts 12,000
Freight In 18,000
Ending Merchandise Inventory 160,000

A) $510,000
B) $481,000
C) $499,000
D) $801,000

B .Calculation of Cost of Goods Sold:
Beginning Merchandise Inventory $175,000
Purchases $510,000
Less: Purchase Returns and Allowances 50,000
Less: Purchase Discounts 12,000
Net Purchases $448,000
Plus: Freight In 18,000
Net Cost of Purchases 466,000
Cost of Goods Available for Sale $641,000
Less: Ending Inventory 160,000
Cost of Goods Sold $481,000