Given the following information for Miller, Inc.:

	Cost	Retail
Markdown cancellations		$950
Markup cancellations		3,500
Employee discounts		1,020
Purchase returns	$1,030	1,520
Purchases	35,400	46,787
Inventory, January 1	7,160	13,820
Purchase discounts taken	756
Freight-in	4,000
Markups		14,500
Markdowns		2,600
Sales		56,700

Required:

Question Content Area

a. Determine the inventory value using the retail inventory method and the FIFO cost flow assumption. Round the cost-to-retail ratio to two decimal places and use the rounded ratio in further computations.

	blank	Cost	Retail
Beginning inventoryEnding inventory at retailGoods available for saleMarkdowns (net)PurchasesPurchases	blank	$Purchases	$Purchases
Beginning inventoryCashPurchase returnsSalesSales discountsPurchase returns	blank	Purchase returns	Purchase returns
Beginning inventoryCashPurchase discountsSales discountsSalesPurchase discounts	blank	Purchase discounts	Purchase discounts
Beginning inventoryCashEnding inventory at retailFreight-inSalesFreight-in	blank	Freight-in	Freight-in
Beginning inventoryGoods available for saleEnding inventory at retailNet markupsSalesNet markups	blank	Net markups	Net markups
Beginning inventoryGoods available for saleEnding inventory at retailNet markdownsSalesNet markdowns	blank	Net markdowns	Net markdowns
blank	blank	$fill in the blank 5f5eac0e2ffc072_19	$fill in the blank 5f5eac0e2ffc072_20
Cost-to-retail ratio:	fill in the blank 5f5eac0e2ffc072_21	blank	blank
Beginning inventoryCashPurchase returns discountsPurchase returnsSalesBeginning inventory	blank	Beginning inventory	Beginning inventory
CashEnding inventory at retailGoods available for salePurchasesSalesGoods available for sale	blank	$Goods available for sale	$Goods available for sale
Add: Net markdownsAdd: Net markupsAdd: SalesLess: Net markupsLess: SalesLess: Sales	blank	Less: Sales	Less: Sales
Add: Employee discountsAdd: Purchase discountsAdd: Purchase returnsLess: Employee discountsLess: Purchase discountsLess: Employee discounts	blank	Less: Employee discounts	Less: Employee discounts
Beginning inventoryCashEnding inventory at retailGoods available for saleMarkdowns (net)PurchasesEnding inventory at retail	blank	blank	$Ending inventory at retail
Ending inventory at FIFO costFreight-inGoods available for saleNet markdownsSales discountsEnding inventory at FIFO cost	blank	$Ending inventory at FIFO cost	blank

Question Content Area

b. Determine the inventory value using the retail inventory method and the lower of average cost or market cost flow assumption. Round intermediate calculation to two decimal places and final answer to nearest dollar. $fill in the blank 9426ddfbb010fbe_1