[The following information applies to the questions displayed below] On January 1, 2024, Pet Friendly Stores adopted the retail Inventory method. Inventory transactions at both cost and retail, and cost Indexes for 2024 and 2025 are as follows: Beginning inventory Purchases Purchase returns Freight-in Net markups Net markdowns Net sales to customers Sales to employees (net of 25% discount) Normal spoilage 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 i 2024 Conventional Retail Method Cost $ 165,000 690,000 4,500 4,800 1.00 1.25 1.25 Retail $ 220,000 888,000 5,150 6,600 4,450 640,000 21,000 3,800 Cost $ 680,000 2,000 5,600 2025 Retail $ 1,069,000 4,075 Required: 3. Estimate the 2024 ending inventory and cost of goods sold using the conventional retall method. Note: Round your cost-to-retall percentage to 2 decimal places and round your final answers to nearest whole dollar. 10,600 7,400 710,000 21,000 2,000
[The following information applies to the questions displayed below] On January 1, 2024, Pet Friendly Stores adopted the retail Inventory method. Inventory transactions at both cost and retail, and cost Indexes for 2024 and 2025 are as follows: Beginning inventory Purchases Purchase returns Freight-in Net markups Net markdowns Net sales to customers Sales to employees (net of 25% discount) Normal spoilage 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 i 2024 Conventional Retail Method Cost $ 165,000 690,000 4,500 4,800 1.00 1.25 1.25 Retail $ 220,000 888,000 5,150 6,600 4,450 640,000 21,000 3,800 Cost $ 680,000 2,000 5,600 2025 Retail $ 1,069,000 4,075 Required: 3. Estimate the 2024 ending inventory and cost of goods sold using the conventional retall method. Note: Round your cost-to-retall percentage to 2 decimal places and round your final answers to nearest whole dollar. 10,600 7,400 710,000 21,000 2,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![[The following information applies to the questions displayed below.]
On January 1, 2024. Pet Friendly Stores adopted the retail Inventory method. Inventory transactions at both cost and retail,
and cost Indexes for 2024 and 2025 are as follows:
Beginning inventory
Purchases
Purchase returns
Freight-in
Net markups
Net markdowns
Net sales to customers
Sales to employees (net of 25% discount)
Normal spoilage
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
Conventional
Retail Method
Cost
$ 165,000
690,000
4,500
4,800
1.00
1.25
1.25
Retail
$ 220,000
888,000
5,150
6,600
4,450
640,000
21,000
3,800
Cost
$ 680,000
2,000
5,600
2025
Retail
$ 1,069,000
4,075
10,600
7,400
710,000
Required:
3. Estimate the 2024 ending inventory and cost of goods sold using the conventional retail method.
Note: Round your cost-to-retall percentage to 2 decimal places and round your final answers to nearest whole dollar.
21,000
2,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F4aa732cf-b5c0-480a-994d-aa76a3fa09d2%2F652e96ab-aec2-4796-b524-84178d8ce234%2Fm7x0hwv_processed.jpeg&w=3840&q=75)
Transcribed Image Text:[The following information applies to the questions displayed below.]
On January 1, 2024. Pet Friendly Stores adopted the retail Inventory method. Inventory transactions at both cost and retail,
and cost Indexes for 2024 and 2025 are as follows:
Beginning inventory
Purchases
Purchase returns
Freight-in
Net markups
Net markdowns
Net sales to customers
Sales to employees (net of 25% discount)
Normal spoilage
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
Conventional
Retail Method
Cost
$ 165,000
690,000
4,500
4,800
1.00
1.25
1.25
Retail
$ 220,000
888,000
5,150
6,600
4,450
640,000
21,000
3,800
Cost
$ 680,000
2,000
5,600
2025
Retail
$ 1,069,000
4,075
10,600
7,400
710,000
Required:
3. Estimate the 2024 ending inventory and cost of goods sold using the conventional retail method.
Note: Round your cost-to-retall percentage to 2 decimal places and round your final answers to nearest whole dollar.
21,000
2,000
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