BonitaCompany lost most of its inventory in a fire in December just before the year-end physical inventory was taken. Corporate records disclose the following.

Inventory (beginning)$79,100Sales revenue$418,400Purchases286,700Sales returns20,700Purchase returns28,600Gross profit % based on net selling price34%

Merchandise with a selling price of $29,800remained undamaged after the fire, and damaged merchandise has a net realizable value of $8,900. The company does not carry fire insurance on its inventory.

Estimate the amount of inventory fire loss. (Do not use the retail inventory method.)

Inventory fire loss