Required: Determine ending inventory and cost of goods sold using the information provided. O Answer is complete but not entirely correct. Ending inventory at retail 480,000 346,500 Ending inventory at cost Cost of goods sold $ 395,200 X %24 %24 %24
Required: Determine ending inventory and cost of goods sold using the information provided. O Answer is complete but not entirely correct. Ending inventory at retail 480,000 346,500 Ending inventory at cost Cost of goods sold $ 395,200 X %24 %24 %24
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Exercise 9-21 (Algo) Dollar-value LIFO retail [LO9-5]
Lance-Hefner Specialty Shoppes decided to use the dollar-value LIFO retail method to value its inventory. Accounting records provide
the following information:
Cost
Retail
Merchandise inventory, January 1, 2021
Net purchases
Net markups
Net markdowns
$245,000 $350,000
458,800 615,000
18,000
13,000
460,000
Net sales
Related retail price indexes are as follows:
January 1, 2021
December 31, 2021
1.00
1.20
Required:
Determine ending inventory and cost of goods sold using the information provided.
X Answer is complete but not entirely correct.
Ending inventory at retail
24
480,000 X
346,500 X
24
Ending inventory at cost
$4
Cost of goods sold
395,200](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3e1bfd6a-3cb6-4031-858f-4ba8da8545b1%2Fbd7f762d-d088-44f5-b810-f5f343bfec2e%2Fotv6e6m_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Exercise 9-21 (Algo) Dollar-value LIFO retail [LO9-5]
Lance-Hefner Specialty Shoppes decided to use the dollar-value LIFO retail method to value its inventory. Accounting records provide
the following information:
Cost
Retail
Merchandise inventory, January 1, 2021
Net purchases
Net markups
Net markdowns
$245,000 $350,000
458,800 615,000
18,000
13,000
460,000
Net sales
Related retail price indexes are as follows:
January 1, 2021
December 31, 2021
1.00
1.20
Required:
Determine ending inventory and cost of goods sold using the information provided.
X Answer is complete but not entirely correct.
Ending inventory at retail
24
480,000 X
346,500 X
24
Ending inventory at cost
$4
Cost of goods sold
395,200
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