Retail Inventory Method Harmes Company is a dothing store that uses the retail inventory method. The following information relates to its operations during 2016: Cost Retail Inventory, January 1 Purchases Markups (net) Markdowns (net) Sales $29,800$40,600 96,100 2,300 500 84,100 65,500 Required: 1. Compute the ending inventory by the retail inventory method for the following cost flow assumption: FIFO. Round the cost-to-retail ratio to three decimal places. If necessary, round dollar amounts to the nearest whole dollar. HARMES COMPANY Calculation of ending inventory by retail inventory method FIFO 2016 Cost Retail