Blue Jeans Shop had net retail sales of 390 000 during
Blue Jeans Shop had net retail sales of $390,000 during the current year. The following additional information was obtained from the company’s accounting records:


Using the retail method, estimate the company’s ending inventory at cost. Assuming that a physical count taken at year-end revealed an inventory of $132,000 at retail value, what is the estimated amount of inventory shrinkage (loss due to theft, damage, etc.) at cost using the retailmethod?
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