Smith Company uses the LIFO retail inventory method for inventory costing. Smith Company has beginning inventory with a cost of $20,000 and a retail value of $80,000. During the year, the company purchases goods with a cost basis of $50,000 and a retail basis of $60,000. Sales are $70.000 at retail. Net markups are $5,000 and net markdowns are $5,000. Under the LIFO retail inventory mothod, which cost-to-retail ratios are used to determine the cost of onding inventory? O A, beginning inventory 25% new layer 25% OB. beginning inventory 25%; new layer 91,67% OC. beginning inventory 25%; new layer 75.00% OD, beginning inventory 25%; new layer 83.33%