Question

On January 1, 2016, HGC Camera Store adopted the dollar-value LIFO retail inventory method. Inventory transactions at both cost and retail, and cost indexes for 2016 and 2017 are as follows: 2016 2017 Cost Retail Cost Beginning inventory Net purchases Freight-in Net markups Net markdowns Net sales to customers Sales to employees (net of 20% discount) Price Index: $28,000 40,000 108,000 $ 90,000 $ 114,000 85,000 2,000 2,500 10,000 2,000 100,000 2,400 8,000 2,200 104,000 4,000 January 1, 2016 December 31, 2016 December 31, 2017 1.00 1.06 1.10 Required Estimate the 2016 and 2017 ending inventory and cost of goods sold using the dollar-value LIFO retail inventory method. (Round your cost-to-retail percentage calculation to 2 decimal places.) Answer is complete but not entirely correct. 2016 2017 Estimated ending inventory at retai Estimated ending inventory at cost $ 36,400 Estimated cost of goods sold $ 53,600S 65,400 43,949 78,600 849518

Answer 1

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