Company has a recent gross profit history of	60%	based on cost
Date available from the accounting record for 3 months ended March 31
Inventory - Jan 1	350,000.00
Purchases	3,650,000.00
Sales	5,825,000.00
Purchase return	45,000.00
Freight in	60,000.00
Purchase discounts and allowances	80,000.00
Sales discounts and allowances	35,000.00
Sales return	70,000.00
Physical inventory count for the period revealed that P250,000 worth of inventories is on hand. Under the gross profit method, what is the estimated cost of inventory? Under the gross profit method, what is the inventory shoartage?