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Weber Corporation uses the retail inventory method to estimate its inventory balances. The following information is available on June 3 0 : Cost Retail Cost

Weber Corporation uses the retail inventory method to estimate its inventory balances. The following information is available on June 30:
Cost Retail Cost Retail
Inventory, January 1 $25,000 $ 60,000 Markdowns $7,000
Purchases 75,000180,000 Additional markups 3,000
Sales 205,000 Markdown cancellations 2,000
Purchases returns 2,0005,000 Markup cancellations 1,000
Required:
Question Content Area
1. Compute the inventory on June 30 using the conventional retail inventory method (lower of average cost or market). Round the cost-to-retail ratio to three decimal places.
WEBER CORPORATION
Computation of Estimated Inventory Using Conventional Retail Inventory Method
June 30
Cost Retail
Beginning inventory
$Beginning inventory
$Beginning inventory
Total purchases
Total purchases
Total purchases
Discounts
Discounts
$fill in the blank
$fill in the blank
Less: Net additional markdowns
Less: Net additional markdowns
Less: Net additional markups
Less: Net additional markups
Ending inventory at retail $fill in the blank
Ending inventory at cost $fill in the blank
Question Content Area
2. Independent of Requirement 1, assume that the June 30 inventory was $80,000 at retail and that the cost-to-retail ratio is 50%. If the price level of the inventory has risen by 5% during the period, compute the cost of the June 30 inventory under the dollar-value retail LIFO method, assuming that the company adopted the method at the beginning of the year. If required, round to the nearest dollar.
$ fill in the blank

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