At the beginning of 2020, the Joan Company had an inventory valued at $34,375 at cost ($50,000 at retail). During the year. Joan purchased inventory for $50,000 (S70,000 at retail), and made markdowns of $7,500. Joan's sales in 2020 were $65.625. What is Joan's estimated ending inventory at FIFO cost using the retail inventory method? O $37,500 $39,000 $40,000 M O $34,375