Problem 9-12 (Static) Retail inventory method; various applications [LO9-3, 9-4, 9-5]

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Raleigh Department Store uses the conventional retail method for the year ended December 31, 2022. Available information follows:

The inventory at January 1, 2022, had a retail value of $45,000 and a cost of $27,500 based on the conventional retail method.

Transactions during 2022 were as follows:

	Cost	Retail
Gross purchases	$ 282,000	$ 490,000
Purchase returns	6,500	10,000
Purchase discounts	5,000
Sales		492,000
Sales returns		5,000
Employee discounts		3,000
Freight-in	26,500
Net markups		25,000
Net markdowns		10,000

Sales to employees are recorded net of discounts.

The retail value of the December 31, 2023, inventory was $56,100, the cost-to-retail percentage for 2023 under the LIFO retail method was 62%, and the appropriate price index was 102% of the January 1, 2023, price level.

The retail value of the December 31, 2024, inventory was $48,300, the cost-to-retail percentage for 2024 under the LIFO retail method was 61%, and the appropriate price index was 105% of the January 1, 2023, price level.

Required: 3. Assume Raleigh Department Store adopts the dollar-value LIFO retail method on January 1, 2023. Estimate ending inventory for 2023 and 2024. Note: Round your cost-to-retail percentage calculation to 2 decimal places (i.e., 0.1234 should be 12.34% ) and final answers to the nearest whole dollar