7. The Toso Company uses the retail inventory method. The following information is available for the year ended December 31 , 2009: Cost Retail Inventory 1/1/09 $390,000 $650,000 Net purchases for the year 1,402,000 1,835,000 Net markups 75,000 Net markdowns 45,000 Net sales 1,845,000 Applying the conventional retail inventory method, Toso's inventory at December 31, 2009, is estimated at: A) $469,000 B) #395, 159 C) $405 , 035 D) $477392