May's Dress Shop's inventory at cost on January 1 was $40,500. Its retail value was $60,500. During the year, May purchased additional merchandise at a cost of $195,300 with a retail value of $395,300. The net sales at retail for the year were $349,500. Calculate May's inventory at cost by the retail method. (Round the "cost ratio" to the nearest whole percent.) Cost Retail Beginning inventory Purchases Cost of goods available for sale Less net sales for year Ending inventory at retail Cost ratio % Ending inventory at cost

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Chapter1: Investments: Background And Issues
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May's Dress Shop's inventory at cost on January 1 was $40,500. Its retail value was $60,500. During the year, May purchased
additional merchandise at a cost of $195,300 with a retail value of $395,300. The net sales at retail for the year were $349,500.
Calculate May's inventory at cost by the retail method. (Round the "cost ratio" to the nearest whole percent.)
Cost
Retail
Beginning inventory
Purchases
Cost of goods available for sale
Less net sales for year
Ending inventory at retail
Cost ratio
%
Ending inventory at cost
Transcribed Image Text:May's Dress Shop's inventory at cost on January 1 was $40,500. Its retail value was $60,500. During the year, May purchased additional merchandise at a cost of $195,300 with a retail value of $395,300. The net sales at retail for the year were $349,500. Calculate May's inventory at cost by the retail method. (Round the "cost ratio" to the nearest whole percent.) Cost Retail Beginning inventory Purchases Cost of goods available for sale Less net sales for year Ending inventory at retail Cost ratio % Ending inventory at cost
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