The records of Diskount Department Stores Inc. provided the following data for 20x5: $ 880,000 Sales (gross) Sales returns Additional markups Additional markup cancellations Markdowns Purchases: 2,200 9,800 5,400 7,800 At retail 930,000 525,000 At cost Purchase returns: At retail At cost Freight on purchases Beginning inventory: At retail At cost Markdown cancellations 4,400 1,900 3,900 88,000 49,000 2,400 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% 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, (Round "Cost ratio to the nearest whole percentage.) Estimated cost of ending inventory Estimated cost of goods sold 3. Which method is likely to be more accurate? Retail sales method Gross margin method