Kiddie World uses a periodic inventory system and the retail inventory method to estimate ending inventory and cost of goods sold. The following data are available for the quarter ending September 30, 2021: Beginning inventory Net purchases Freight-in Net markups Net markdowns Net sales Cost $400,000 $535,000 Retail 905,000 1,310,000 45,000 28,000 1,250,000 58,000 Estimate ending inventory and cost of goods sold (average cost). (Round ratio calculation to 2 decimal places (1.e., 0.1234 should be entered as 12.34%.)) Cost Retail Beginning inventory S 400,000 $ 905,000 45,000 535,000 1,310,000 Plus: Net purchases Freight-in Net markups Less: Net markdowns Goods available for sale Cost-to-retail percentage Less: Net sales 58,000 (28,000) $ 1.350000 $ 1,875,000) (1.250,000) Estimated ending inventory at retail Estimated ending inventory at cost Estimated cost of goods sold $ 625.000 Cost-to-Retail Ratio