[单选题]
A company’s annual physical inventory count took place on 6 January 2016. Inventory value on this date was USD38,750. During the period from 31 December 2015 to 6 January 2016 the following events occurred: USD Sales 5,740 Purchases 3,990 The mark-up is 25% on cost.What is the cost of the company’s inventory on 31 December 2015?
A .USD39,352
B .USD39,065
C .USD38,435
D .USD38,148
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