Wildhorse Company uses the conventional retail method to determine its ending inventory at cost. Assume the beginning inventory at cost (retail) were $475800 (\$724680), purchases during the current year at cost (retail) were $2507100 ( $4026000 ), freight-in totaled $157380, sales during the current year totaled $3660000, net markups were $87840 and net markdowns were $131760. What costs should be excluded from the cost to retail ratio? $87840. $131760. $43920. $157380