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company began year with inventory of 95,000. during the year the company made gross purchases of 500,000, net sales of 800,000, made 20,000 of purchase

company began year with inventory of 95,000. during the year the company made gross purchases of 500,000, net sales of 800,000, made 20,000 of purchase returns and received 25,000 of sales returns before a fire destroyed the inventory. for past several years, companys gross profit % has been 40%. estimate the cost of the inventory that was destroyed by the fire?

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