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 at the end of the year: Beginning inventory Net purchases Freight-in Net markups Net markdowns Net sales Beginning inventory Plus: Net purchases Freight-in Net markups Goods available for sale Less: Net markdowns Goods available for sale Cost-to-retail percentage Less: Net sales Cost $ 380,000 895,000 68,200 Estimate ending Inventory and cost of goods sold using the conventional method. Note: Round ratio calculation to 2 decimal places (1.e., 0.1234 should be entered as 12.34%.) Estimated ending inventory at retail Estimated ending inventory at cost Estimated cost of goods sold Retail $ 520,000 1,290,000 $ 56,000 26,000 1,240,000 Cost 380,000 $ 520,000 895,000 1,290,000 68,200 1,343,200 Retail $ 56,000 1,866,000 (26,000) 1,840,000 (1,240,000) 600,000 Cost-to-Retail Ratio 4

Kiddle Worid uses a periodic inventory system and the retall inventory method to estimate ending inventory and cost of goods sold. The following data are avallable at the end of the year: Estimate ending inventory and cost of goods sold using the conventional method. Note: Round rotlo calculation to 2 decimal places (1.e., 0.1234 should be entered as 12.34%.)