As of January 1, 2014, Aristotle Inc. installed the retail method of accoutning for its merchandise inventory.

To prepare the stores financial statements at June 30, 2014, you obtain the following data.

		Cost			Selling Price
Inventory, January 1		$ 33,450			$ 44,600
Markdowns					11,280
Markups					9,350
Markdown cancellations					6,150
Markup cancellations					3,220
Purchases		93,202			156,100
Sales revenue					159,400
Purchase returns		3,450			4,860
Sales returns and allowances					8,500

(a) Compute Aristotles June 30, 2014, inventory under the conventional retail method of accounting for inventories. (Round ratios for computational purposes to 0 decimal places, e.g. 78% and final answer to 0 decimal places, e.g. 28,987.)

Inventory under the conventional retail method

$

(b) Without prejudice to your solution to part (a), assume that you computed the June 30, 2014, inventory to be $83,160 at retail and the ratio of cost to retail to be 75%. The general price level has increased from 100 at January 1, 2014, to 108 at June 30, 2014. Compute the June 30, 2014, inventory at the June 30 price level under the dollar-value LIFO retail method. (Round ratios for computational purposes to 0 decimal places, e.g. 78% and final answer to 0 decimal places, e.g. 28,987.)

Ending inventory at dollar-value LIFO cost

$