E4.28 ABC Co., a retailer, uses a periodic inventory system. The following information is available from its accounts and records $4,000,000 $300,000 $3,100,000 25% es (from gener Inventory (from general ledger) Purchases (net of returns and discounts from general ledger) . . . . . . . . Gross profit ratio (based on consistent average over the past 5 years) * 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