Big B Stores uses the conventional retail method to value its ending inventory. The following information relates to Big B€™s inventory at both cost and retail for the current year.

Compute Big B€™s ending inventory for the current year using the conventional retail method (round all percentages to two decimal places).

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Retail Description Beginning inventory Purchases Additional markups Markup cancellations Markdowns Markdown cancellations Sales Cost 55,000 245,000 78,500 325,000 24,000 7,000 12,000 3,500 400,000