ebook Gross Profit Method The inventory was destroyed by fire on December 31. The following data were obtained from the accounting records: Jan. 1 Jan. 1 Dec. 31 Inventory Purchases (net) Sales Estimated gross profit rate a. Estimate the cost of the inventory destroyed. Estimated Cost of Merchandise Destroyed $350,000 2,950,000 4,440,000 35% b. Which method is used to estimate inventory cost in case of inventory destroyed by fire?

Gross Profit Method The inventory was destroyed by fire on Decernber 31 . The following data were obtained from the accounting records: a. Estimate the cost of the inventory destroyed. b. Which method is used to estimate inventory cost in case of inventory destroyed by fire