Comprehensive Problem 30 Hardcovers RetailPa 640,000 Cost Cost Beginning inventory 420,000 Purchases Freight-in Purchase discounts Net sales 280,000 Retail 360,000 2,135,000 3,200,000 1,155,000 1540,000 24,000 44,000 12,000 22,000 3,100,000 1,570,000 At December 31, Rayre Books takes a physical inventory at retail. The actual retail values of the inventories in each department are Hardcovers $744,000 and Paperbacks $335,000 Instructions (a) Determine the estimated cost of the ending inventory for each department at Octobe 488 400 2017, using the retail inventory method. (b) Compute the ending inventory at cost for each department at December 31, assuming the cost-to-retail ratios for the year are 65% for Hardcovers and 75% for Paperbacks