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Required information [The following information applies to the questions displayed below.] Raleigh Department Store uses the conventional retail method for the year ended December 31,

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Required information [The following information applies to the questions displayed below.] Raleigh Department Store uses the conventional retail method for the year ended December 31, 2019 Available information follows: a. The inventory at January 1, 2019, had a retail value of $31000 and a cost of $11.000 based on the conventional retail method b. Transactions during 2019 were as follows: Gross purchases Purchase returns Purchase discounts Gross sales Sales returns Employee discounts Freight-in Net markups Net markdowns Cost Retail $570,000 $953,000 6,000 4,000 5,000 958,000 5.000 3,000 20.000 20,000 4,000 Sales to employees are recorded net of discounts The retail value of the December 31, 2020, inventory was $48,150, the cost-to-retail percentage for 2020 under the LIFO retail method was 42%, and the appropriate price index was 107% of the January 1, 2020 price level d. The retail value of the December 31, 2021, inventory was $43,450, the cost-to-retail percentage for 2021 under the LIFO retail method was 41%, and the appropriate price index was 110% of the January 1, 2020. price level Required: 1. Estimate ending inventory for 2019 using the conventional retail method. (Amounts to be deducted should be indicated with a minus sign.) Cost Retail Cost to Retail Ratio Beginning inventory tes Goods available for sale Cost-to-retail percentage Less Net sales Sales Sales returns Employee discounts Estimated ending inventory at retail Estimated ending inventory at cost Required: 2. Estimate ending inventory for 2019 assuming Raleigh Department Store used the LIFO retail method (Amounts to be deducted should be indicated with a minus sign.) Cost Retail Cost-to-Retail Ratio Beginning inventory tes Goods available for sale (excluding beginning inventory) Goods available for sale (including beginning inventory) $ 0 0 Cost to retail percentage Less Net sales Sales Sales retums Employee discounts Estimated ending inventory at retail Estimated ending inventory at cost $ Required: 3. Assume Raleigh Department Store adopts the dollar-value LIFO retail method on January 1, 2020 Estimating ending inventory for 2020 and 2021 Total ending inventory at dollar-value LIFO retail cost, 2020 Total ending inventory at dollar-value LIFO retail cost, 2021

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