E4.28 ABC Co., a retailer, uses a periodic inventory system. The following information is available from its accounts and records: Sales (from general ledger).... . $4,000,000 Inventory (from general ledger") .. $300,000 Purchases (net of returns and discounts from general ledger) ........ $3,100,000 Gross profit ratio (based on consistent average over the past 5 years) ............... 25% * This is the beginning of the year inventory balance as of January 1, 20X9, based on a count The manager arrived at the store on the morning of October 1, 20X9, and found that a burglary had occurred and large amounts of valuable inventory had been stolen. A count showed remaining inventory on hand after the theft that had cost $45,000. ABC Co. plans to make a claim with its insurance company for the costs of this stolen inventory. Using the gross profit method, what is the estimated cost of the stolen inventory? WEB E4.29 ABC Co., a retailer, provided you with the following March 31, 20X7 year-to-date information from its accounts and records: Sales (from general ledger) $1,350,000 (Retail January 1, 20X7, inventory balance $217,000 $367,700 Purchases (net)........ $883,000 $1,232,300 @ Cost Using the conventional retail method, estimate the cost of ABC Co.'s ending inventory on March 31, 20X7, as well as ABC Cols estimated cost of goods sold through March 31, 20X7