Maria Co. uses the retail inventory method in estimating the values of its inventories and cost of goods sold. The following information was provided:

The estimated ending inventory at cost is?

a. P1,302,000

b. P1,275,588

c. P1,412,786

d. P1,287,120

COST P1,987,200 RETAIL P2,760,000 7,812,000 6,512,000 4,688,640 94,560 Beginning Inventory Sales Purchases Freight in Mark ups Mark up cancellations Markdown Markdown cancellations 720,000 120,000 240,000 40,000