P8.10 ( LO5) (Retail Inventory Method)Fuque Inc. uses the retail inventory method to estimate ending inventory for its monthly financial statements. The following data pertain to a single department for the month of October 2026. Instructions a. Using the conventional retail method, prepare a schedule computing estimated lower-of-cost-or-market inventory for October 31,2026. b. A department store using the conventional retail inventory method estimates the cost of its ending inventory as $60,000. An accurate physical count reveals only $47,000 of inventory at lower-of-cost-or-market. List the factors that may have caused the difference between the computed inventory and the physical count