The following information applied to Fenn, Inc. for 2006:

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Merchandise purchased for resale

$400,000

Freight-in

10,000

Freight-out

5,000

Purchase returns

2,000

Fenn’s 2006 inventoriable cost was

  1. $400,000
  2. $404,000
  3. $408,000
  4. $413,000