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The records of Diskount Department Stores Inc. provided the following data for 20X5: Sales (gross) Sales retums Additional markups Additional markup cancellations Markdowns Purchases $900,000

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The records of Diskount Department Stores Inc. provided the following data for 20X5: Sales (gross) Sales retums Additional markups Additional markup cancellations Markdowns Purchases $900,000 2,200 10,000 5,500 8,000 At retail 950,000 537,500 At cost Purchase retuns: At retail At cost Freight on purchases Beginning inventory At retail At cost 4,500 1,050 3,950 90,000 50,000 2,500 Markdown cancellations Required: 1. Estimate the valuation of the ending inventory and cost of goods sold using the gross margin method. Last year's gross margin percentage was 53 % . Estimated cost of ending inventory Estimated cost of goods sold 2 Estimate the valuation of the ending inventory and cost of goods sold using the retail sales method, which approximates lower-of-cost-or-NRV valuation Estimated cost of ending inventory Estmated cost of goods sold

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