Ferret Company Uses the LIFO Retail Inventory Method for Inventory

question 98

Essay

Ferret Company uses the LIFO retail inventory method for inventory costing. Ferret Company has beginning inventory with a cost of $10,000 and a retail value of $40,000. During the year, the company purchases goods with a cost basis of $80,000 and a retail basis of $100,000. It has net markups of $5,000 and net markdowns of $5,000. Sales are $50,000 at retail.
Required:
What is the cost of the ending inventory using the LIFO retail inventory method? Round all ratios to four decimal places. Round all numbers to two decimal places.

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