I need help to solve this problem please explain me step by step including how to get the 206000 answer because I copied from chegg. Also, I checked in bartleby and chegg the same problem but they have wrong answers then please be sure you are giving me the right anwers.
Thank you
![Required information<br>(The following information applies to the questions displayed below.]<br>On January 1, 2021, Pet Friendly Stores adopted the retail inventory method. Inventory transactions at both cost and retail,<br>and cost indexes for 2021 and 2022 are as follows:<br>2021<br>2022<br>Retail<br>Cost<br>$ 90,000 $150,000<br>478,000 730, 000<br>2,500<br>6,960<br>Cost<br>Retail<br>Beginning inventory<br>Purchases<br>$511,000 $760, 000<br>2,200<br>8,000<br>Purchase returns<br>3,500<br>4,000<br>Freight-in<br>Net markups<br>Net markdowns<br>Net sales to customers<br>8,500<br>4,000<br>650, 000<br>10,000<br>6,000<br>680, 000<br>17,500<br>Sales to employees (net of 30% discount)<br>Normal spoilage<br>14,000<br>5,000<br>6,600<br>Price Index:<br>January 1, 2021<br>December 31, 2021<br>December 31, 2022<br>1.00<br>1.03<br>1.06<br>Required:<br>2. Estimate the 2021 ending inventory and cost of goods sold using the average cost retail method. (Round your cost-to-retail<br>percentage to 2 decimal places and round your final answers to nearest whole dollar.)<br>X Answer is complete but not entirely correct.<br>Average Cost<br>Retail Method<br>Estimated ending inventory at retail<br>206,000 O<br>Estimated ending inventory at cost<br>2$<br>123,990 X<br>Estimated cost of goods sold<br>$<br>448.470 X<br>](https://s3.us-east-1.amazonaws.com/storage.unifolks.com/qimg-008/008_ehd4y50-1annusrm.png)
Extracted text: Required information (The following information applies to the questions displayed below.] On January 1, 2021, Pet Friendly Stores adopted the retail inventory method. Inventory transactions at both cost and retail, and cost indexes for 2021 and 2022 are as follows: 2021 2022 Retail Cost $ 90,000 $150,000 478,000 730, 000 2,500 6,960 Cost Retail Beginning inventory Purchases $511,000 $760, 000 2,200 8,000 Purchase returns 3,500 4,000 Freight-in Net markups Net markdowns Net sales to customers 8,500 4,000 650, 000 10,000 6,000 680, 000 17,500 Sales to employees (net of 30% discount) Normal spoilage 14,000 5,000 6,600 Price Index: January 1, 2021 December 31, 2021 December 31, 2022 1.00 1.03 1.06 Required: 2. Estimate the 2021 ending inventory and cost of goods sold using the average cost retail method. (Round your cost-to-retail percentage to 2 decimal places and round your final answers to nearest whole dollar.) X Answer is complete but not entirely correct. Average Cost Retail Method Estimated ending inventory at retail 206,000 O Estimated ending inventory at cost 2$ 123,990 X Estimated cost of goods sold $ 448.470 X