help please.thanks read: First Assignment x Y Cengage Off × y w CengageNOW C Not

Question

help please.thanks

read: First Assignment x Y Cengage Off × y w CengageNOW C Not secure v2.cengagenow.com/ilrn/takeAssignment takeAssignmentMain doinvoker-assignments take ssignment essionl cat 0 Gross Profit Method A fire completely destroyed all the inventory of Glisan Lumber Yard on August 5, 20-. Fortunately, the accounting records were not destroyed in the following information is provided by Glisan Lumber Yard for the time period January 1 through August 5: Beginning inventory, January 1, 20 Net purchases, January 1 through August 5 410,000 Net sales, January 1 through August 5 Normal gross profit as a percentage of sales 40% Required: Estimate the amount of merchandise inventory destroyed in the fire on August 5 using the gross profit method. $114,000 725,000

Explanation / Answer

correct answer $89,000

Amount a Beginning Inventory $        114,000 b Purchase goods $        410,000 c Net sales $        725,000 d Gross profit (c*40%) $        290,000 e Cost of goods sold (c-d) $        435,000 f Closing Inventory (a+b-e) $          89,000

Related Questions

Navigate

• Browse (All)
• Browse H
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.