On January 1, 2021, Sanderson Variety Store adopted the dollar-value LIFO retail inventory method. Accounting records provided the following information: Cost Retail Beginning inventory $ 49,000 $ 70,000 Net purchases 189,040 280,000 Net markups 8,000 Net markdowns 10,000 Net sales 265,000 Retail price index, end of year 1.02 During 2022, purchases at cost and retail were $210,990 and $324,600, respectively. Net markups, net markdowns, and net sales for the year were $5,000, $6,000, and $290,000, respectively. The retail price index at the end of 2022 was 1.06. 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: Cost Retail Beginning inventory $ 49,000 $ 70,000 Net purchases 189,040 280,000 Net markups 8,000 Net markdowns 10,000 Net sales 265,000 Retail price index, end of year 1.02 During 2022, purchases at cost and retail were $210,990 and $324,600, respectively. Net markups, net markdowns, and net sales for the year were $5,000, $6,000, and $290,000, respectively. The retail price index at the end of 2022 was 1.06. 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
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On January 1, 2021, Sanderson Variety Store adopted the dollar-value LIFO retail inventory method. Accounting records provided the following information:
| Cost | Retail | |||||
| Beginning inventory | $ | 49,000 | $ | 70,000 | ||
| Net purchases | 189,040 | 280,000 | ||||
| Net markups | 8,000 | |||||
| Net markdowns | 10,000 | |||||
| Net sales | 265,000 | |||||
| Retail price index, end of year | 1.02 | |||||
During 2022, purchases at cost and retail were $210,990 and $324,600, respectively. Net markups, net markdowns, and net sales for the year were $5,000, $6,000, and $290,000, respectively. The retail price index at the end of 2022 was 1.06.
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.)
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