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0 Required information (The following information applies to the questions displayed below.) Raleigh Department Store uses the conventional retail method for the year ended December

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0 Required information (The following information applies to the questions displayed below.) Raleigh Department Store uses the conventional retail method for the year ended December 31, 2019. Available Information follows: a. The inventory at January 1, 2019, had a retail value of $41,000 and a cost of $32.970 based on the conventional retall b. Transactions during 2019 were as follows: cost 5224,320 5,100 4.600 Retail 5.650,000 24,000 Gross purchases Purchase returns Purchase discounts Gross sales Sales returns Employee discounts Freight-in Net markups Net markdown 498.500 5.000 3.500 27.300 21,000 24,000 Sales to employees are recorded net of discounts c The retail value of the December 31, 2020, Inventory was $59,800, the cost-to-retail percentage for 2020 under the LIFO retail method was 74%, and the appropriate price index was 104% of the January 1, 2020, price level. d. The retail value of the December 31, 2021. Inventory was $47,080, the cost-to-retail percentage for 2021 under the LIFO retail method was 73%, and the appropriate price index was 107% of the January 1 2020. price level Required: 2. Estimate ending inventory for 2019 assuming Raleigh Department Store used the LIFO retail method. (Amounts to be deducted should be indicated with a minus sign.) Cost Retail Cost-to-Retail Ratio 45,000 450,000 Beginning inventory Add: Purchases Add: Freight in Less: Purchase returns Loss: Purchase discounts Add: Net markups Less: Net markdowns Goods available for sale (excluding beginning inventory) Goods available for sale (aduding beginning inventory) 32.170 s 224310 27.500 16.100) (4.600) (24,000) 21,000 (24.000) 423,000 464,000 241,1101 273 280 $ Cost-to-retail percentage 57% $ Less: Net sales Sales Sales returns Employee discounts Estimated ending inventory at real Estimated ending inventory at cost 408.500 (5.000) $ 454,000 40.150

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