Exercise 9-28

Cullumber Corporation began operations on January 1, 2020, with a beginning inventory of $39,852 at cost and $50,000 at retail. The following information relates to 2020.

		Retail
Net purchases ($110,100 at cost)		$151,100
Net markups		10,100
Net markdowns		5,000
Sales revenue		129,000

Assume Cullumber decided to adopt the conventional retail method. Compute the ending inventory to be reported in the balance sheet. (Round ratios for computational purposes to 1 decimal place, e.g. 78.7% and final answer to 0 decimal places, e.g. 28,987.)

Ending inventory using the conventional retail method

$

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Assume instead that Cullumber decides to adopt the dollar-value LIFO retail method. The appropriate price indexes are 100 at January 1 and 110 at December 31. Compute the ending inventory to be reported in the balance sheet. (Round ratios for computational purposes to 2 decimal places, e.g. 78.72% and final answer to 0 decimal places, e.g. 28,987.)

Ending inventory using the dollar-value LIFO retail method

$

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On the basis of the information in part (b), compute cost of goods sold. (Round ratios for computational purposes to 2 decimal places, e.g. 78.72% and final answer to 0 decimal places, e.g. 28,987.) Cost of goods sold using the dollar-value LIFO retail method