Crosby Company owns a chain of hardware stores throughout the state. The company uses a periodic Inventory system and the retall Inventory method to estimate ending Inventory and cost of goods sold. The following data are available for the three months ending March 31, 2021: Beginning inventory Net purchases Net markups Net markdowns Net sales Beginning inventory Net purchases Required: Complete the table below to estimate the LIFO cost of ending inventory and cost of goods sold for the three months ending March 31, 2021, using the information provided. Assume stable retail prices during the period. (Round ratio calculation to 2 decimal places (1.e.. 0.1234 should be entered as 12.34%). Enter amounts to be deducted with a minus sign.) Net markups Cost $320,000 707,000 Net markdowns Goods available for sale (excluding beg inventory) Goods available for sale (including beg, inventory) Cost-to-retail percentage (beginning) Cost-to-retail percentage (current) Net sales Estimated ending inventory at reta Estimated ending inventory at cost Retail $382,000 995,000 23,000 8,000 961,000 $ Cost 320.000 S Retail 382.000 Cost-to-Retail Ratio 96 95
Crosby Company owns a chain of hardware stores throughout the state. The company uses a periodic Inventory system and the retall Inventory method to estimate ending Inventory and cost of goods sold. The following data are available for the three months ending March 31, 2021: Beginning inventory Net purchases Net markups Net markdowns Net sales Beginning inventory Net purchases Required: Complete the table below to estimate the LIFO cost of ending inventory and cost of goods sold for the three months ending March 31, 2021, using the information provided. Assume stable retail prices during the period. (Round ratio calculation to 2 decimal places (1.e.. 0.1234 should be entered as 12.34%). Enter amounts to be deducted with a minus sign.) Net markups Cost $320,000 707,000 Net markdowns Goods available for sale (excluding beg inventory) Goods available for sale (including beg, inventory) Cost-to-retail percentage (beginning) Cost-to-retail percentage (current) Net sales Estimated ending inventory at reta Estimated ending inventory at cost Retail $382,000 995,000 23,000 8,000 961,000 $ Cost 320.000 S Retail 382.000 Cost-to-Retail Ratio 96 95
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Crosby Company owns a chain of hardware stores throughout the state. The company uses a periodic inventory system and the retall
Inventory method to estimate ending Inventory and cost of goods sold. The following data are available for the three months ending
March 31, 2021:
Beginning inventory
Net purchases
Net markups
Net markdowns
Net sales
Beginning inventory
Net purchases
Required:
Complete the table below to estimate the LIFO cost of ending Inventory and cost of goods sold for the three months ending March 31,
2021, using the information provided. Assume stable retail prices during the period. (Round ratio calculation to 2 decimal places (l.e..
0.1234 should be entered as 12.34%). Enter amounts to be deducted with a minus sign.)
Net markups
Cost
$320,000
707,000
Net markdowns
Goods available for sale (excluding beg inventory)
Goods available for sale (including beg. inventary)
Cost-to-retail percentage (beginning)
Cost-to-retail percentage (current)
Net sales
Estimated ending inventory at reta
Estimated ending inventory at cost
Estimated cost of goods sold
Retail
$382,000
995,000
23,000
8,000
961,000
S
Cost
320,000 $
Retail
382.000
Cost-to-Retail
Ratio
96
96
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