ABC Corp. has a beginning inventory of SAR 50,000 and purchases of SAR

200,000, both at cost. Sales at selling price amount to SAR 300,000. If the

gross profit on selling price is 30 percent. The approximate inventory as per

gross margin method would be:

1. SAR 90,000

2. SAR 210,000

3. SAR 40,000

4. SAR 50,000