ABC began operations on January 1 2011. On January 1 2011 they purchased inventory at a cost of $2400000. The selling price of this inventory was initially set at $5000000.During 2011 net markdowns totaled $2000000 and net markups totaled $1000000. The ending inventory on December 31 2011 (at Retail) was $1600000.During 2012 inventory was purchased at a cost of $3000000. The initial selling price of this inventory was set at $8000000. Net markdowns in 2012 were $1000000 and net markups were $400000. Ending Inventory on December 31 2012 (at Retail) was $1800000.a. Assuming that ABC uses the conventional retail inventory method calculate the amount of inventory they should report on their December 31 2011 Balance Sheet?b. Assuming that ABC uses the conventional retail inventory method calculate the amount of cost of goods sold that they will report on their Income Statement for the year-ending December 31 2012?