Answer both parts

MurudBerhad uses the retail inventory method to estimate ending inventory for its monthly financial statements. The following data pertain to a single department for the month of October 2020 Inventory at 1 October 2020 RM Al cost 104,000 At retail 156.000 Purchases (exclusive of freight and returns) Al cost 544,000 At retail 846,000 Freight-in 33,200 Purchase returns At cost 11.200 At retail 16,000 18,000 4,000 Markups Markup cancellations Markdowns (net) Normal spoilage 7,200 20,000 Sales 780,000 Required: a) Using the conventional retail method, prepare a schedule computing estimated Lower of Cost and Net Realizable Value inventory for 31 October 2020. I A department store using the conventional retail inventory method estimates the cost of its ending inventory as RM60,000. An accurate physical countreveals only RM47,000 of inventory at Lower of Cost and Net Realizable Value. List the factors that may have caused the difference between the computed inventory and the physical count