At the beginning of the year, Blue Spruce had an inventory of $275000. During the year, the company purchased goods costing $1220000. If Blue Spruce reported ending inventory of $440000 and sales of $1420000, their cost of goods sold and gross profit rate would be $780000 and 74.30% $1055000 and 74% $1055000 and 25.70%. O $640000 and 26%