Redfern Retailers provided the following information for the month of June 2016. The entity uses the retail inventory method for interim reporting purposes. Normal mark-up on cost is 60%. Ignore GST.

Beginning inventory (cost) Net purchases (cost) Sales Mark-downs (some items still in stock) Mark-down cancellations (some items still in stock) Additional mark-ups (some items affected still in stock) Staff discounts (on items sold)

$

8000 10 000 20000 900 120 260 500

Required

Redfern Retailers requests that an estimate be made of inventory on hand at cost at 30 June 2016. Provide this estimate.