Exercise 9-13 (Algo) Retail inventory method; average cost [LO9-3] San Lorenzo General Store uses a periodic inventory system and the retail inventory method to estimate ending inventory and cost of goods sold. The following data are available for the month of October 2021: Beginning inventory Net purchases Net markups Net markdowns Net sales Cost $39,000 17,290 Retail $54,000 32,000 1,600 1,000 36,000 Required: Complete the table below to estimate the average cost of ending inventory and cost of goods sold for October using the information provided. (Round ratio calculation to 2 decimal places (i.e., 0.1234 should be entered as 12.34%.). Enter amounts to be deducted with a minus sign.) Cost Retail Cost-to-Retail Ratio
Exercise 9-13 (Algo) Retail inventory method; average cost [LO9-3] San Lorenzo General Store uses a periodic inventory system and the retail inventory method to estimate ending inventory and cost of goods sold. The following data are available for the month of October 2021: Beginning inventory Net purchases Net markups Net markdowns Net sales Cost $39,000 17,290 Retail $54,000 32,000 1,600 1,000 36,000 Required: Complete the table below to estimate the average cost of ending inventory and cost of goods sold for October using the information provided. (Round ratio calculation to 2 decimal places (i.e., 0.1234 should be entered as 12.34%.). Enter amounts to be deducted with a minus sign.) Cost Retail Cost-to-Retail Ratio
Chapter1: Financial Statements And Business Decisions
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![Exercise 9-13 (Algo) Retail inventory method; average cost [LO9-3]
San Lorenzo General Store uses a periodic inventory system and the retail inventory method to estimate ending inventory and cost of
goods sold. The following data are available for the month of October 2021:
Beginning inventory
Net purchases
Net markups
Net markdowns
Net sales
Beginning inventory
Net purchases
Net markups
Net markdowns
Goods available for sale
Required:
Complete the table below to estimate the average cost of ending inventory and cost of goods sold for October using the information
provided. (Round ratio calculation to 2 decimal places (i.e., 0.1234 should be entered as 12.34%.). Enter amounts to be deducted
with a minus sign.)
Cost-to-retail percentage
Cost
$39,000
17,290
Net sales
Estimated ending inventory at retail
Estimated ending inventory at cost
Estimated cost of goods sold
Retail
$54,000
32,000
1,600
1,000
36,000
S
Cost
39,000 $
17,290
56,290
Retail
54,000
32,000
1,600
(1,000)
86,600
Cost-to-Retail
Ratio
%](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F05c29da8-5e07-472c-a295-a56e55cdcfad%2F63fe36d7-586f-45e8-a45e-86c6c6d227e7%2Fgath4pc_processed.png&w=3840&q=75)
Transcribed Image Text:Exercise 9-13 (Algo) Retail inventory method; average cost [LO9-3]
San Lorenzo General Store uses a periodic inventory system and the retail inventory method to estimate ending inventory and cost of
goods sold. The following data are available for the month of October 2021:
Beginning inventory
Net purchases
Net markups
Net markdowns
Net sales
Beginning inventory
Net purchases
Net markups
Net markdowns
Goods available for sale
Required:
Complete the table below to estimate the average cost of ending inventory and cost of goods sold for October using the information
provided. (Round ratio calculation to 2 decimal places (i.e., 0.1234 should be entered as 12.34%.). Enter amounts to be deducted
with a minus sign.)
Cost-to-retail percentage
Cost
$39,000
17,290
Net sales
Estimated ending inventory at retail
Estimated ending inventory at cost
Estimated cost of goods sold
Retail
$54,000
32,000
1,600
1,000
36,000
S
Cost
39,000 $
17,290
56,290
Retail
54,000
32,000
1,600
(1,000)
86,600
Cost-to-Retail
Ratio
%
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