E9-17 (L04) (Gross Profit Method) You are called by Tim Duncan of Spurs Co. on July 16 and asked to prepare a claim for insurance as a result of a theft that took place the night before. You suggest that an inventory be taken immediately. The follow ing data are available. Inventory, July 1 Purchases goods placed in stock July 1-15 Sales revenue- goods delivered to customers (gross) Sales returns-goods returned to stock 38,000 85,000 116,000 ,000 Your client reports that the goods on hand on July 16 cost $30,500, but you determine that this figure includes goods of S6,000 received on a consignment basis. Your past records show that sales are made at approximately 40% over cost Duncan's insur- ance covers only goods owned. Instructions Compute the claim against the insurance company