Use four decimal places.Chocolate Heaven had the following data for November:
$$\begin{array} { | l | r | r | }
\hline & \text { Cost Price } & \text { Retail Price } \
\hline \text { Beginning inventory } & \$ 8,000 & \$ 13,000 \
\hline \text { Purchases } & 18,000 & 25,000 \
\hline \text { Sales } & & 30,000 \
\hline
\end{array}$$
The cost of the estimated inventory on November 30 under the retail method is:

Question

Use four decimal places.Chocolate Heaven had the following data for November:
$$\begin{array} { | l | r | r | } 
\hline & \text { Cost Price } & \text { Retail Price } \
\hline \text { Beginning inventory } & \$ 8,000 & \$ 13,000 \
\hline \text { Purchases } & 18,000 & 25,000 \
\hline \text { Sales } & & 30,000 \
\hline
\end{array}$$
The cost of the estimated inventory on November 30 under the retail method is:

Quizplus · Accepted Answer

The cost of the estimated inventory on November 30 under the retail method is $5,440. The retail method is a method of estimating the cost of inventory by using the retail price of the inventory and the cost-to-retail ratio. The cost-to-retail ratio is the ratio of the cost of the inventory to the retail price of the inventory. In this case, the cost-to-retail ratio is 8,000 / 13,000 = 0.6154. The cost of the estimated inventory on November 30 is 0.6154 * 30,000 = $5,440.

Use Four Decimal Places The Cost of the Estimated Inventory on November 30 Under