Q26

Data below for the year ended December 31, 2021, relates to Houdini Inc. Houdini started business January 1, 2021, and uses the LIFO retail method to estimate ending inventory.

	Cost			Retail
Beginning inventory	$	80,000		$	112,000
Net purchases		339,840			500,000
Net markups					28,000
Net markdowns					48,000
Net sales					447,000

Estimated ending inventory at cost is: (Do not round intermediate calculations):

Multiple Choice

• $98,752.

• None of these answer choices are correct.

• $103,364.

• $107,480.