Required information

Problem 9-9 (Algo) Retail methodaverage cost and conventional [LO9-3, 9-4]

Skip to question

[The following information applies to the questions displayed below.] Smith-Kline Company maintains inventory records at selling prices as well as at cost. For 2021, the records indicate the following data:

	($ in 000s)
	Cost			Retail
Beginning inventory	$	90		$	135
Purchases		681			1,016
Freight-in on purchases		40
Purchase returns		2			3
Net markups					5
Net markdowns					9
Net sales					926

Problem 9-9 (Algo) Part 1

Required: 1. Use the retail method to approximate cost of ending inventory valued under Average cost method. (Enter your answer in thousands including 2 decimal places, i.e. 12,550 would be 12.55.)