3 Campbell Corporation uses the retail method to value its inventory. The following information is available for the year 2016 Cost Retail 1.5 points Merchandise inventory $260,000 $287,000 January 1, 2016 Purchases Freight-in Net markups Net markdowns Net sales 693,000 896,000 eBook 15,000 27,000 4,700 870,000 Hint Print References Required: Determine the December 31, 2016, inventory that approximates average cost, lower of cost and net realizable value Cost Retail Cost-to-Retail Ratio Beginning inventory Plus: Purchases Freight-in Net markups Less: Net markdowns Goods available for sale Cost-to-retail percentage Less: Net sales Estimated ending inventory at retail Estimated ending inventory at cost