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Fuque Inc. uses the retail inventory method to estimate ending inventory for its monthly financial statements. The following data pertain to a single department for
Fuque Inc. uses the retail inventory method to estimate ending inventory for its monthly financial statements. The following data pertain to a single department for the month of October 2015.
Inventory, October 1, 2015 | ||
At cost | $ 52,880 | |
At retail | 78,900 | |
Purchases (exclusive of freight and returns) | ||
At cost | 299,474 | |
At retail | 428,100 | |
Freight-in | 17,000 | |
Purchase returns | ||
At cost | 5,610 | |
At retail | 8,800 | |
Markups | 9,300 | |
Markup cancellations | 2,300 | |
Markdowns (net) | 3,600 | |
Normal spoilage and breakage | 10,400 | |
Sales revenue | 396,900 |
Using the conventional retail method, prepare a schedule computing estimated lower-of-cost-or-market inventory for October 31, 2015. (Round ratios for computational purposes to 0 decimal places, e.g 78% and final answer to 0 decimal places, e.g. 28,987.)
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