Sparrow Company uses the retail inventory method to estimate ending inventory and cost of goods sold. Data for 2013 are as follows:

	Cost			Retail
Beginning inventory	$	96,000		$	186,000
Purchases		361,000			586,000
Freight-in		9,600
Purchase returns		7,600			11,600
Net markups					16,600
Net markdowns					12,600
Normal spoilage					3,600
Abnormal spoilage		5,520			8,600
Sales					546,000
Sales returns					10,600

The company records sales net of employee discounts. Discounts for 2013 totaled $4,600.

Required:
1.	Estimate Sparrow