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Problem 9-13 (Algo) Retail inventory method; various applications [LO9-3, 9-4, 9-5] [The following information applies to the questions displayed below.] 3 On January 1, 2021,
Problem 9-13 (Algo) Retail inventory method; various applications [LO9-3, 9-4, 9-5] [The following information applies to the questions displayed below.] 3 On January 1, 2021, Pet Friendly Stores adopted the retail inventory method. Inventory transactions at both cost an and cost indexes for 2021 and 2022 are as follows: Cost 2022 Retail Beginning inventory Purchases Purchase returns Freight-in Net markups Net markdowns Net sales to customers Sales to employees (net of 30% discount) Normal spoilage Price Index: January 1, 2021 December 31, 2021 December 31, 2022 2021 Cost Retail $ 168, 750 $225,000 503,000 633, 000 4,000 3,650 5,800 6, 100 4,450 453,000 20,300 6,000 $665,000 $1,113,000 3,700 5,800 5,000 10,800 7,500 742,000 20,300 6,400 1.00 1.25 1.25 es Problem 9-13 (Algo) Part 1 Required: 1. Estimate the 2021 and 2022 ending inventory and cost of goods sold using the dollar-value LIFO retail method. 2021 2022 Estimated ending inventory at retail Estimated ending inventory at cost Estimated cost of goods sold
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