Question - Retail Inventory Method
Presented below is information related to Ricky Henderson Company.
|
|
Cost
|
Retail
|
|
Beginning inventory
|
$200,000
|
$280,000
|
|
Purchases
|
1,375,000
|
2,140,000
|
|
Markups
|
|
95,000
|
|
Markup cancellations
|
|
15,000
|
|
Markdowns
|
|
35,000
|
|
Markdown cancellations
|
|
5,000
|
|
Sales
|
|
2,200,000
|
Instruction - Compute the inventory by the conventional retail inventory method.