Hawkeye Auto Parts 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 $55,000 and $100,000, net purchases at cost and retail were $785,000 and $1,300,000, and sales during the first six months totaled $800,000. The estimated inventory at June 30, 2016, would be:
A.	$330,000.
B.	$360,000.
C.	$362,300.
D.	None of these answer choices are correct.
Answer:B
Hawkeye Auto Parts 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 $55,000 and $100,000, net purchases at cost and retail were $785,000 and $1,300,000, and sales during the first six months totaled $800,000. The estimated inventory at June 30, 2016, would be:
A.	$330,000. B.	$360,000. C.	$362,300. D.	None of these answer choices are correct.