Lacys Linen Mart uses the average cost retail method to estimate inventories. Data for the first six months of 2016 include: beginning inventory at cost and retail were $60,000 and $120,000, net purchases at cost and retail were $312,000 and $480,000, and sales during the first six months totaled $490,000. The estimated inventory at June 30, 2016, would be:
A.	$ 68,200.
B.	$ 55,000.
C.	$ 71,500.
D.	$ 63,250.
Answer:A
Lacys Linen Mart uses the average cost retail method to estimate inventories. Data for the first six months of 2016 include: beginning inventory at cost and retail were $60,000 and $120,000, net purchases at cost and retail were $312,000 and $480,000, and sales during the first six months totaled $490,000. The estimated inventory at June 30, 2016, would be:
A.	$ 68,200. B.	$ 55,000. C.	$ 71,500. D.	$ 63,250.