Beginning inventory Purchases Purchase returns Freight-in Net markups Net markdowns Net sales to customers Sales to employees (net of 20% discount) Normal spoilage Price Index: January 1, 2024 December 31, 2024 December 31, 2025 Estimated ending inventory at retail Estimated ending inventory at cost Estimated cost of goods sold Average Cost Retail Method S S (D 351.050 245.735 366.215 2024 Cost $ 159,250 450,000 4,500 7,200 1.25 Retail $ 245,000 631,000 3,550 5,900 4,600 500,000 24,000 3,500 Cost $ 685,000 4,100 7,000 Required: 2. Estimate the 2024 ending inventory and cost of goods sold using the average cost retail method. Note: Round your cost-to-retail percentage to 2 decimal places and round your final answers to nearest whole dollar. 2025 Retail $ 918,000 4,500 11,600 7,900 720,000 24,000 6,800 4

Required: 2. Estimate the 2024 ending inventory and cost of goods sold using the average cost retail method. Note: Round your cost-to-retail percentage to 2 decimal places and round your final answers to nearest whole dollar