I need help working out problems like this. Please go into detail explaining each step. Retail Inventory Method The following information is provided by Raynette's Pharmacy for the last quarter of its fiscal year ending on March 31, 20--: Cost Retail Inventory, start of period, January 1, 20-- $32,000 $52,000 Net purchases during the period $176,000 268,000 Net sales for the period $260,000 Required: 1. Estimate the ending inventory as of March 31 using the retail inventory method.$ 2. Estimate the cost of goods sold for the time period January 1 through March 31 using the retail inventory method.$
I need help working out problems like this. Please go into detail explaining each step. Retail Inventory Method The following information is provided by Raynette's Pharmacy for the last quarter of its fiscal year ending on March 31, 20--: Cost Retail Inventory, start of period, January 1, 20-- $32,000 $52,000 Net purchases during the period $176,000 268,000 Net sales for the period $260,000 Required: 1. Estimate the ending inventory as of March 31 using the retail inventory method.$ 2. Estimate the cost of goods sold for the time period January 1 through March 31 using the retail inventory method.$
Chapter1: Financial Statements And Business Decisions
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I need help working out problems like this. Please go into detail explaining each step.
Retail Inventory Method
The following information is provided by Raynette's Pharmacy for the last quarter of its fiscal year ending on March 31, 20--:
| Cost | Retail | |||
|---|---|---|---|---|
| Inventory, start of period, January 1, 20-- | $32,000 | $52,000 | ||
| Net purchases during the period | $176,000 | 268,000 | ||
| Net sales for the period | $260,000 |
Required:
1. Estimate the ending inventory as of March 31 using the retail inventory method.
$
2. Estimate the cost of goods sold for the time period January 1 through March 31 using the retail inventory method.
$
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