On January 1, 2021, Sanderson Variety Store adopted the dollar-value LIFO retail inventory method. Accounting records provided the following information: Beginning inventory Net purchases Net markups Net markdowns Net sales Retail price index, end of year Cost Retail $ 55,250 $ 85,000 222,390 355,000 5,000 7,000 332,000 1.02 During 2022, purchases at cost and retail were $275,700 and $459,500, respectively. Net markups, net markdowns, and net sales for the year were $4,000, $5,000, and $365,000, respectively. The retail price index at the end of 2022 was 1.05. Estimate ending inventory in 2022 using the dollar-value LIFO retail method. (Round your intermediate calculations to the nearest whole dollar. Round ratio calculation to the nearest whole percent.)
On January 1, 2021, Sanderson Variety Store adopted the dollar-value LIFO retail inventory method. Accounting records provided the following information: Beginning inventory Net purchases Net markups Net markdowns Net sales Retail price index, end of year Cost Retail $ 55,250 $ 85,000 222,390 355,000 5,000 7,000 332,000 1.02 During 2022, purchases at cost and retail were $275,700 and $459,500, respectively. Net markups, net markdowns, and net sales for the year were $4,000, $5,000, and $365,000, respectively. The retail price index at the end of 2022 was 1.05. Estimate ending inventory in 2022 using the dollar-value LIFO retail method. (Round your intermediate calculations to the nearest whole dollar. Round ratio calculation to the nearest whole percent.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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T3.
Transcribed Image Text:On January 1, 2021, Sanderson Variety Store adopted the dollar-value LIFO retail inventory method. Accounting records provided the
following information:
Beginning inventory
Net purchases
Net markups
Net markdowns
Net sales
Retail price index, end of year
Cost
$55,250
222,390
Retail
$ 85,000
355,000
5,000
7,000
332,000
1.02
During 2022, purchases at cost and retail were $275,700 and $459,500, respectively. Net markups, net markdowns, and net sales for
the year were $4,000, $5,000, and $365,000, respectively. The retail price index at the end of 2022 was 1.05.
Estimate ending inventory in 2022 using the dollar-value LIFO retail method. (Round your intermediate calculations to the nearest
whole dollar. Round ratio calculation to the nearest whole percent.)
> Answer is complete but not entirely correct.
Ending inventory
$ 121,756 X
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