San Lorenzo General Store uses a periodic inventory system and the retail inventory method to estimate ending inventory and cost of goods sold. The following data are available for the month of October 2021: Cost RetailBeginning inventory $35,000 $50,000Net purchases 19,120 31,600Net markups 1,200Net markdowns 800Net sales 32,000 Required:Estimate the average cost of ending inventory and cost of goods sold for October using the information provided.
San Lorenzo General Store uses a periodic inventory system and the retail inventory method to estimate ending inventory and cost of goods sold. The following data are available for the month of October 2021:
Cost Retail
Beginning inventory $35,000 $50,000
Net purchases 19,120 31,600
Net markups 1,200
Net markdowns 800
Net sales 32,000
Required:
Estimate the average cost of ending inventory and cost of goods sold for October using the information provided.
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