The following data concerning the retail inventory method are taken from the financial records of Blossom Company.

		Cost		Retail
Beginning inventory		$ 183000		$ 267000
Purchases		883000		1150000
Freight-in		22700
Net markups				78700
Net markdowns				54700
Sales				1214000

If the ending inventory is to be valued at approximately the lower of cost or market, the calculation of the cost-to-retail ratio should be based on goods available for sale at (1) cost and (2) retail, respectively of

$1066000 and $1417000.

$1088700 and $1495700.

$1088700 and $1417000.

$1088700 and $1441000.