Seamus Shoe Store uses the retail inventory method for its two departments, Women’s Shoes and Men’s Shoes. The following information for each department is obtained.
|
Women’s |
Men’s |
|
|
Item |
Shoes |
Shoes |
|
Beginning inventory at cost |
$ 32,000 |
$ 45,000 |
|
Cost of goods purchased at cost |
148,000 |
136,300 |
|
Net sales |
178,000 |
185,000 |
|
Beginning inventory at retail |
46,000 |
60,000 |
|
Cost of goods purchased at retail |
179,000 |
185,000 |
Instructions
Compute the estimated cost of the ending inventory for each department under the retail inventory method.