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Retail Inventory Method The following information is provided by Raynette's Pharmacy for the last quarter of its fiscal year ending on March 31, 20--:   Cost Retail Inventory, start of period, January 1, 20--   $28,700     $51,700   Net purchases during the period   164,304     264,700   Net sales for the period       261,700   Required: 1.  Estimate the ending inventory as of March 31 using the retail inventory method and the cost of goods sold for the time period January 1 through March 31 using the retail inventory method

Question

Retail Inventory Method

The following information is provided by Raynette's Pharmacy for the last quarter of its fiscal year ending on March 31, 20--:

  Cost Retail
Inventory, start of period, January 1, 20--   $28,700     $51,700  
Net purchases during the period   164,304     264,700  
Net sales for the period       261,700  

Required:

1.  Estimate the ending inventory as of March 31 using the retail inventory method and the cost of goods sold for the time period January 1 through March 31 using the retail inventory method.

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