Charleston Company has elected to use the dollar-value LIFO retail method to value its inventory. The following data has been accumulated from the accounting records: Cost Retail Merchandise inventory, January 1, 2021$361,760 $560,000 Net purchases 685,832 1,026,000 Net markups 14,600 Net markdowns 4,600 Net sales 683,000 Pertinent retail price indexes: January 1, 2021 1.00 December 31, 2021 1.10 Required:Estimate the ending inventory for December 31, 2021. (Round "Cost-to-retail percentage" to 2 decimal places.) Estimated ending inventory (At Retail) Estimated ending inventory (At Cost)

The ending inventory is the inventory left in stock at year end and assumed to be sold during next…

Answered: Charleston Company has elected to use…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Charleston Company has elected to use the dollar-value LIFO retail method to value its inventory. The following data has been accumulated from the accounting records:

	Cost		Retail
Merchandise inventory, January 1, 2021	$	361,760		$	560,000
Net purchases		685,832			1,026,000
Net markups					14,600
Net markdowns					4,600
Net sales					683,000
Pertinent retail price indexes:
January 1, 2021		1.00
December 31, 2021		1.10

Required:
Estimate the ending inventory for December 31, 2021. (Round "Cost-to-retail percentage" to 2 decimal places.)


Estimated ending inventory (At Retail)
Estimated ending inventory (At Cost)

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