Canova Corporation adopted the dollar-value LIFO retail method on January 1, 2016. On that date, the cost of the inventory on hand was $15,000 and its retail value was $18,750. Information for 2016 and 2017 is as follows:

Date: Ending Inventory at retail Retail price index Cost-to-Retail percentage

12/31/16 25,000 1.25 82%

12/31/17 28,600 1.30 85%

1. What is the cost-to-retail percentage for the inventory on hand at 1/1/16?

2. alculate the inventory value at the end of 2016 and 2017 using the dollar-value LIFO retail method.(Round your answers to the nearest whole dollar amount.)

Ending inventory 2016:

Ending incentory 2017: