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On January 1, 2018, Pet Friendly Stores adopted the retail inventory method. Inventory transactions at both cost and retail, and cost indexes for 2018 and

On January 1, 2018, Pet Friendly Stores adopted the retail inventory method. Inventory transactions at both cost and retail, and cost indexes for 2018 and 2019 are as follows:

2018Cost Retail Cost Retail 2019

Beginning inventory $150,500 $215,000

Purchases 640,000 852,000 $735,000 $923,000

Purchase returns 2,700 5,650 3,500 5,475

Freight-in 6,800 5,000

Net markups 5,600 10,400

Net markdowns 4,450 7,300

Net sales to customers 560,000 708,000

Sales to employees (net of 20% discount)20,000 20,000

Normal spoilage 3,100 2,000

Price Index:

January 1, 20181.00

December 31, 20181.25

December 31, 20191.25

Required:

1.Estimate the 2018 and 2019 ending inventory and cost of goods sold using the dollar-value LIFO retail method.

2.Estimate the 2018 ending inventory and cost of goods sold using the average cost retail method.

3.Estimate the 2018 ending inventory and cost of goods sold using the conventional retail method.

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