question archive A fire destroys all of the merchandise of Coronado Company on February 10, 2020
A fire destroys all of the merchandise of Coronado Company on February 10, 2020
Subject:AccountingPrice:4.89 Bought3
A fire destroys all of the merchandise of Coronado Company on February 10, 2020. Presented below is information compiled up to the date of the fire.
Inventory, January 1, 2020 $422,300
Sales revenue to February 10, 2020 1,949,100
Purchases to February 10, 2020 1,210,110
Freight-in to February 10, 2020 64,540
Rate of gross profit on selling price 30%
What is the approximate inventory on February 10, 2020?
Inventory at February 10, 2020_______?
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a) Inventory, January 1, 2020 $422,300
Purchase $1,210,110
Freight in $64,540
b)Cost of purchase $1,274,650
c)Cost of goods available for sale(a+b) $1,696,950
d)Cost of goods sold(1,949,100*70%) $1,364,370
e)Inventory on 10 Feb (c-d) $332,580
