Ortiz Department Store Utilizes the Retail Inventory Method to Estimate

Multiple Choice

Ortiz Department Store utilizes the retail inventory method to estimate its inventories. It calculated its cost to retail ratio during the period at 70%. Goods available for sale at retail amounted to $600,000 and net sales during the period for $440,000. The estimated cost of the ending inventory is

A) $112,000.
B) $160,000.
C) $308,000.
D) $420,000.