Dollar Value LIFO Retail The Johns Company adopts the dollar value LIFO retail inventory method on January 1, 2007. The following information for 2007 is obtained from the company’s records:

Cost

Retail

Inventory, January 1, 2007

$20,000

$29,000

Purchases

60,000

92,000

Net markups

1,000

Net markdowns

3,000

Sales

75,000

The price index on January 1, 2007 was 100 and on December 31, 2007 it was 110.

Required

Compute the cost of the inventory on December 31, 2007.