Required: 1. Estimate the 2021 and 2022 ending inventory and cost of goods sold using the dollar-value LIFO retail method. 2. Estimate the 2021 ending inventory and cost of goods sold using the average cost retail method. (Round your cost-to-retail percentage to 2 decimal places and round your final answers to nearest whole dollar.) 3. Estimate the 2021 ending inventory and cost of goods sold using the conventional retail method. Required informationProblem 9-13 (Algo) Retail inventory method; various applications (LO9-3, 9-4, 9-5)[The following information applies to the questions displayed below)On January 1, 2021, Pet Friendly Stores addpted the retail inventory method. Inventory transactions at both cost and retail,and cost indexes for 2021 and 2022 are as follows:2021Cost$156,000 $240,000510,000 752,0006,2006,2002022RetailRetailCostBeginning inventoryPurchasesPurchase returnsFreight-inNet markupsNet markdownsNet sales to customersSales to employees (net of 30% discount)Normal spoilagePrice Index:January 1, 2021December 31, 2021December 31, 2022$725,000 $1,123,0004,0007,0003,6506,6006,2504,600500, 00021,0006,20011,4007, 800718,00021,0003,0001.001.251.58Problem 9-13 (Algo) Part 1Reauired:< Prev2 34.of 4Next >

1) Calculation : 2021 2022 Estimated ending inventory at retail $453,800 $822,800…

Answered: t whole dollar.)

Business

Accounting

t whole dollar.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Required:

1. Estimate the 2021 and 2022 ending inventory and cost of goods sold using the dollar-value LIFO retail method.

2. Estimate the 2021 ending inventory and cost of goods sold using the average cost retail method. (Round your cost-to-retail percentage to 2 decimal places and round your final answers to nearest whole dollar.)

3. Estimate the 2021 ending inventory and cost of goods sold using the conventional retail method.

Required information
Problem 9-13 (Algo) Retail inventory method; various applications (LO9-3, 9-4, 9-5)
[The following information applies to the questions displayed below)
On January 1, 2021, Pet Friendly Stores addpted the retail inventory method. Inventory transactions at both cost and retail,
and cost indexes for 2021 and 2022 are as follows:
2021
Cost
$156,000 $240,000
510,000 752,000
6,200
6,200
2022
Retail
Retail
Cost
Beginning inventory
Purchases
Purchase returns
Freight-in
Net markups
Net markdowns
Net sales to customers
Sales to employees (net of 30% discount)
Normal spoilage
Price Index:
January 1, 2021
December 31, 2021
December 31, 2022
$725,000 $1,123,000
4,000
7,000
3,650
6,600
6,250
4,600
500, 000
21,000
6,200
11,400
7, 800
718,000
21,000
3,000
1.00
1.25
1.58
Problem 9-13 (Algo) Part 1
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