Sparrow Company uses the retail inventory method to estimate ending inventory and cost of goods sold. Data for 2024 are as follows: Beginning inventory Purchases Freight-in Purchase returns Net markups Net markdowns Normal spoilage Abnormal spoilage Sales Sales returns Cost $ 85,000 352,000 8,500 6,500 4,760 Estimated ending inventory at retail Estimated ending inventory at cost Estimated cost of goods sold Retail $ 175,000 575,000 10,500 15,500 11,500 The company records sales net of employee discounts. Employee discounts for 2024 totaled $3,500. Conventional application 2,500 7,500 535,000 9,500 Problem 9-6 (Algo) Part 2 2. Estimate Sparrow's ending inventory and cost of goods sold for the year using the retail inventory method and the conventional application. Note: Round Cost-to-retail percentage to 2 decimal places and final answers to the nearest whole dollar amount.

Sparrow Company uses the retail inventory method to estimate ending inventory and cost of goods sold. Data for 2024 are as follows: The company records sales net of employee discounts. Employee discounts for 2024 totaled $3,500. Problem 9-6 (Algo) Part 2 2. Estimate Sparrow's ending inventory and cost of goods sold for the year using the retail inventory method and the conventional application. Note: Round Cost-to-retail percentage to 2 decimal places and final answers to the nearest whole dollar amount