Marcos Industries uses the retail method of inventory costing. The retail value of the inventory is $478,000. If the ratio of

Comment (1) on “Marcos Industries uses the retail method of inventory costing. The retail value of the inventory is $478,000. If the ratio of”

1. The correct answer is A.

   Explanation:

   Giving the following information:

   The retail value of the inventory is $478,000. The ratio of cost to retail price is 60%. What is the amount of inventory to be reported on the financial statements?

   Inventory= 478,000*0.60= $286,800

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