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A Company uses the periodic inventory method and wants to estimate the amount of ending inventory in order to prepare quarterly financial statements. Sales for
A Company uses the periodic inventory method and wants to estimate the amount of ending inventory in order to prepare quarterly financial statements. Sales for the quarter were $13,000. Based on historical records, the company earns an average gross margin of 25 percent on sales. Beginning inventory for the quarter was $3,500 and purchases were $7,100. What was amount of ending inventory?
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