American Lumber Has the Following Company Information for October: Goods

Multiple Choice

American Lumber has the following company information for October: goods available for sale at cost are $24,000, retail is $36,500, and sales at retail equal $28,500. Bert has a normal gross profit of 20%. The cost of estimated ending inventory under the retail method is: (Round any percentages to two decimal places, X.XX%, and your final answer to the nearest dollar.)

A) $5,260.
B) $6,246.
C) $6,400.
D) $1,600.