Accounting help

Raleigh Department Store converted from the conventional retail method to the LIFO retail method on January 1, 2014, and is now considering converting to the dollar-value LIFO retail inventory method. Management requested, during your examination of the financial statements for the year ended December 31, 2016, that you furnish a summary showing certain computations of inventory costs for the past three years. Available information follows: a. The inventory at January 1, 2014, had a retail value of $46,000 and a cost of $29,160 based on the conventional retail method. b. Transactions during 2014 were as follows: Cost Retail Gross purchases $291,540 $500,000 Purchase returns 6,000 11,000 Purchase discounts 5.100 Gross sales 500,000 Sales returns 8,500 Employee discounts 3,500 Freight-in 27,000 26,000 Net markups Net markdowns 11,000 Sales to employees are recorded net of discounts. c. The retail value of the December 31, 2015, inventory was $61,800, the cost-to-retail percentage for 2015 under the LIFO retail method was 64%, and the appropriate price index was 103% of the January 1, 2015, price level d. The retail value of the December 31, 2016, inventory was $49,290, the cost-to-retail percentage for 2016 under the LIFO retail method was 63%, and the appropriate price index was 106% of the January 1, 2015, price level