On January 1, 2024, HGC Camera Store adopted the dollar-value LIFO retail inventory method. Inventory transactions at both cost and retail, and cost indexes for 2024 and 2025 are as follows: Beginning inventory Net purchases Freight-in Net markups Net markdowns Net sales to customers Sales to employees (net of 20% discount) Price Index: January 1, 2024 December 31, 2024 December 31, 2025 Estimated ending inventory at retail Estimated ending inventory at cost Estimated cost of goods sold 2024 2024 Cost $ 51,800 101, 150 3,700 Retail $ 74,000 125,000 2025 18,500 3,700 125, 250 3,000 2025 Cost $ 107,532 4,200 Required: Estimate the 2024 and 2025 ending inventory and cost of goods sold using the dollar-value LIFO retail inventory method. Note: Do not round other intermediate calculations. Round your cost-to-retail percentage calculation to 2 decimal places and final answers to the nearest whole dollar. Retail $ 131,700 11,400 3,900 118,800 6,720 1.00 1.06 1.10
On January 1, 2024, HGC Camera Store adopted the dollar-value LIFO retail inventory method. Inventory transactions at both cost and retail, and cost indexes for 2024 and 2025 are as follows: Beginning inventory Net purchases Freight-in Net markups Net markdowns Net sales to customers Sales to employees (net of 20% discount) Price Index: January 1, 2024 December 31, 2024 December 31, 2025 Estimated ending inventory at retail Estimated ending inventory at cost Estimated cost of goods sold 2024 2024 Cost $ 51,800 101, 150 3,700 Retail $ 74,000 125,000 2025 18,500 3,700 125, 250 3,000 2025 Cost $ 107,532 4,200 Required: Estimate the 2024 and 2025 ending inventory and cost of goods sold using the dollar-value LIFO retail inventory method. Note: Do not round other intermediate calculations. Round your cost-to-retail percentage calculation to 2 decimal places and final answers to the nearest whole dollar. Retail $ 131,700 11,400 3,900 118,800 6,720 1.00 1.06 1.10
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
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Publisher:Jay Rich, Jeff Jones
Chapter6: Cost Of Goods Sold And Inventory
Section: Chapter Questions
Problem 50E: Inventory Costing Methods Crandall Distributors uses a perpetual inventory system and has the...
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![On January 1, 2024, HGC Camera Store adopted the dollar-value LIFO retail inventory method. Inventory transactions at both cost and
retail, and cost indexes for 2024 and 2025 are as follows:
Beginning inventory
Net purchases
Freight-in
Net markups
Net markdowns
Net sales to customers
Sales to employees (net of 20 % discount)
Price Index:
January 1, 2024
December 31, 2024
December 31, 2025
Estimated ending inventory at retail
Estimated ending inventory at cost
Estimated cost of goods sold
2024
2024
Cost
$ 51,800
101, 150
3,700
Retail
$ 74,000
125,000
2025
18,500
3,700
125, 250
3,000
Cost
2025
$ 107,532
4,200
Required:
Estimate the 2024 and 2025 ending inventory and cost of goods sold using the dollar-value LIFO retail inventory method.
Note: Do not round other intermediate calculations. Round your cost-to-retail percentage calculation to 2 decimal places and final
answers to the nearest whole dollar.
Retail
$ 131,700
11,400
3,900
118,800
6,720
1.00
1.06
1.10](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fa05daa89-f797-4742-9ccb-a63cbc764296%2F960e3d6f-c622-424f-a875-5f55e8874356%2F2z2rskh_processed.jpeg&w=3840&q=75)
Transcribed Image Text:On January 1, 2024, HGC Camera Store adopted the dollar-value LIFO retail inventory method. Inventory transactions at both cost and
retail, and cost indexes for 2024 and 2025 are as follows:
Beginning inventory
Net purchases
Freight-in
Net markups
Net markdowns
Net sales to customers
Sales to employees (net of 20 % discount)
Price Index:
January 1, 2024
December 31, 2024
December 31, 2025
Estimated ending inventory at retail
Estimated ending inventory at cost
Estimated cost of goods sold
2024
2024
Cost
$ 51,800
101, 150
3,700
Retail
$ 74,000
125,000
2025
18,500
3,700
125, 250
3,000
Cost
2025
$ 107,532
4,200
Required:
Estimate the 2024 and 2025 ending inventory and cost of goods sold using the dollar-value LIFO retail inventory method.
Note: Do not round other intermediate calculations. Round your cost-to-retail percentage calculation to 2 decimal places and final
answers to the nearest whole dollar.
Retail
$ 131,700
11,400
3,900
118,800
6,720
1.00
1.06
1.10
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