The Zeon Company had a flood on July 5, 2023, that destroyed all of its inventory. The salvaged accounting records contained the following information:

Required
Determine the amount of inventory lost by Zeon as a result of the flood. Zeon has a December 31 year-end. Round the gross profit ratio to the nearest whole percentage point.

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Sales, January 1 to July 5............... Net merchandise purchased Jan. 1 to July 5....... Additional information was determined from the 2022 annual report: Income statement: Sales.............. Cost of goods sold.. Balance sheet: Merchandise inventory.... Zeon was unable to salvage any usable inventory after the water subsided. $ 737,650 414,900 $2,122,550 1,337,175 131,200