May's Dress Shop's inventory at cost on January 1 was $43,000. Its retail value was $63,000. During the year, May purchased additional merchandise at a cost of $195,800 with a retail value of $395,800. The net sales at retail for the year were $352,000. Calculate May's inventory at cost by the retail method. Note: Round the "cost ratio" to the nearest whole percent. Beginning inventory Purchases Cost of goods available for sale Less net sales for year Ending inventory at retail Cost ratio Ending inventory at cost Cost Retail %

May's Dress Shop's inventory at cost on January 1 was $43,000. Its retail value was $63,000. During the year, May purchased additional merchandise at a cost of $195,800 with a retail value of $395,800. The net sales at retail for the year were $352,000. Calculate May's inventory at cost by the retail method. Note: Round the "cost ratio" to the nearest whole percent. Beginning inventory Purchases Cost of goods available for sale Less net sales for year Ending inventory at retail Cost ratio Ending inventory at cost Cost Retail %

Financial Accounting

14th Edition

ISBN:9781305088436

Author:Carl Warren, Jim Reeve, Jonathan Duchac

Publisher:Carl Warren, Jim Reeve, Jonathan Duchac

Chapter7: Inventories

Section: Chapter Questions

Problem 4PEA: Beginning inventory, purchases, and sales for 30xT are as follows: Assuming a perpetual inventory...

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