Cosby Company owns a chain of hardware stores throughout the state. The company uses a periodic inventory system and the retail inventory method to estimate ending inventory and the cost of goods sold. The following data are available for the three months ending March 31, 2021: Cost Retail Beginning inventory $ 340,000 $ 384,000 Net purchases 777,000 1,040,000 Net markups 15,000 Net markdowns 5,000 Net sales 1,005,000

Intermediate Accounting II