Sultan Co. uses the retail inventory method to estimate its inventory for interim statement purposes. Data relating to the inventory computation at June 30, 2020 are as follows: (pls see inserted picture) What is the estimated cost of June 30, 2020 inventory using the average approach? * Cost Retail Inventory, January 1 Net Purchases Net Mark-ups Net Mark-downs 1,262,800 820,000 2,280,000 3,607,200 450,000 320,000 Sales 4,350,000 Sales returns Employee discount Sales discount Normal shrinkage 300,000 100,000 80,000 50,000

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What is the estimated cost of June 30, 2020 inventory using the average approach?

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Sultan Co. uses the retail inventory method to estimate its inventory for
interim statement purposes. Data relating to the inventory computation at
June 30, 2020 are as follows: (pls see inserted picture) What is the
estimated cost of June 30, 2020 inventory using the average approach?
*
Cost
Retail
Inventory, January 1
820,000
1,262,800
Net Purchases
Net Mark-ups
Net Mark-downs
2,280,000
3,607,200
450,000
320,000
4,350,000
300,000
100,000
Sales
Sales returns
Employee discount
Sales discount
Normal shrinkage
80,000
50,000
Transcribed Image Text:Sultan Co. uses the retail inventory method to estimate its inventory for interim statement purposes. Data relating to the inventory computation at June 30, 2020 are as follows: (pls see inserted picture) What is the estimated cost of June 30, 2020 inventory using the average approach? * Cost Retail Inventory, January 1 820,000 1,262,800 Net Purchases Net Mark-ups Net Mark-downs 2,280,000 3,607,200 450,000 320,000 4,350,000 300,000 100,000 Sales Sales returns Employee discount Sales discount Normal shrinkage 80,000 50,000
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