Question: Lauras Department Store uses the average cost retail inventory method to determine its ending inventory. The accounting records for the current year for Lauras contained

Lauras Department Store uses the average cost retail inventory method to determine its ending inventory. The accounting records for the current year for Lauras contained the following information: Cost Retail Purchases $71,200 $87,750 Beginning inventory 17,000 23,500 Sales 98,000 Net markups 6,500 Net markdowns 3,000 In addition, the accounting records for Lauras disclosed that purchases returns at cost and retail were $1,950 and $4,250, respectively. What is the cost-to-retail percentage to be used for ending inventory calculations?

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