Willie Nelson's Boots uses the conventional retail method to estimate ending inventory. Cost data for the most recent quarter is shown below:

	Cost	Retail
Beginning inventory	$62,000	$79,000
Net purchases	170,000	247,000
Net markups		38,000
Net markdowns		51,000
Net sales		236,000

The conventional cost-to-retail percentage (rounded) is:

84.7%.

63.7%.

74.1%.

71.2%.