Presented below is information related to Waveland Inc.

	Cost	Retail
Inventory, 12/31/14	$250,000	$ 390,000
Purchases	914,500	1,460,000
Purchase returns	60,000	80,000
Purchase discounts	18,000
Gross sales revenue (after employee discounts)		1,410,000
Sales returns		97,500
Markups		120,000
Markup cancellations		40,000
Markdowns		45,000
Markdown cancellations		20,000
Freight-in	42,000
Employee discounts granted		8,000
Loss from breakage (normal)		4,500

Instructions

Assuming that Waveland Inc. uses the conventional retail inventory method, compute the cost of its ending inventory at December 31, 2015.