Big Hurt Corporations April 30 inventory was destroyed by fire. January 1 inventory was $150,000, and purchases

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Big Hurt Corporation’s April 30 inventory was destroyed by fire. January 1 inventory was $150,000, and purchases for January through April totaled $500,000. Sales for the same period were $700,000. Big Hurt’s normal gross profit percentage is 31%. Using the gross profit method, estimate Big Hurt’s April 30 inventory that was destroyed by fire.

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Intermediate Accounting principles and analysis

ISBN: 978-0471737933

2nd Edition

Authors: Terry d. Warfield, jerry j. weygandt, Donald e. kieso

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