Raleigh Department Store uses the conventional retail method for the year ended December 31, 2016. Available information follows: The inventory at January 1, 2016, had a retail value of $47,000 and a cost of $30,860 based on the conventional retail method.

Transactions during 2016 were as follows:

Cost Retail

Gross purchases $ 301,860 $ 510,000

Purchase returns 6,100 12,000

Purchase discounts 5,200

Gross sales 476,000

Sales returns 8,000

Employee discounts 6,000

Freight-in 27,500

Net markups 27,000

Net markdowns 12,000

Sales to employees are recorded net of discounts. The retail value of the December 31, 2017, inventory was $92,560, the cost-to-retail percentage for 2017 under the LIFO retail method was 65%, and the appropriate price index was 104% of the January 1, 2017, price level. The retail value of the December 31, 2018, inventory was $50,290, the cost-to-retail percentage for 2018 under the LIFO retail method was 64%, and the appropriate price index was 107% of the January 1, 2017, price level.

Required: a. Estimate ending inventory for 2016 using the conventional retail method.

b. Estimate ending inventory for 2016 assuming Raleigh Department Store used the LIFO retail method.

c. Assume Raleigh Department Store adopts the dollar-value LIFO retail method on January 1, 2017. Estimating ending inventory for 2017 and 2018.