Sparrow Company uses the reta nventory method to estimate ending inventory and cost of goods sold Data for 2013 are as follows: Retail Cost Beginning inventory 82,000 $172,000 373,000 572,000 8,200 Purchases Freight-in Purchase returns 6,200 10,200 Net markups 15.200 11,200 Net markdowns 2,200 Normal spoilage Abnormal spoilage 4,028 7.200 532,000 Sales 9,200 Sales returns The company records sales net of employee discounts. Discounts for 2013 totaled $3200