Background: When you undertook the preparation of the financial statements for Telfer Company at January 31, 2021, the following data were available: At Cost Inventory, February 1, 2020 $70,800 Markdowns Markups Markdown cancellations Markup cancellations Purchases 219,500 Sales revenue Purchases returns and allowances 4,300 Sales returns and allowances At Retail $ 98,500 35,000 63,000 20,000 10,000 294,000 335,000 5,500 10,000 Instructions Compute the ending inventory at cost as of January 31, 2021, using the retail method which approximates lower of cost or market. Show your calculations in good form. If the results of a physical inventory indicated an inventory at retail of $95,000, what inferences would you draw