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The records of Killebrew, Incs. report the following data for the month of August. Sales revenue $220,000 Purchases (at cost) $96,000 Sales returns 12,000 Purchases

  1. The records of Killebrew, Incs. report the following data for the month of August.

Sales revenue

$220,000

Purchases (at cost)

$96,000

Sales returns

12,000

Purchases (at sales price)

190,000

Additional markups

25,000

Purchase returns (at cost)

4,000

Markup cancellations

8,000

Purchase returns (as sales price)

6,000

Markdowns

16,000

Beginning inventory (at cost)

60,000

Markdown cancellations

5,000

Beginning inventory (at sales price)

93,000

Freight on purchases

2,000

Instructions: Estimate ending inventory using the conventional retail method.

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