Exercise 9-16 Blue Company lost most of its inventory in a fire in December Just before the year-end physical Inventory was taken. The corporation's books disclosed the following Beginning inventory $156,000 Sales revenue $621,700 Purchases for the year 380,100 Sales returns 23,800 Purchase returns 30,100 Rate of gross profit on net sales 40% Merchandise with a selling price of $22,800 remained undamaged after the fire. Damaged merchandise with an original selling price of $16,000 had a net realizable value of $5,200. Compute the amount of the loss as a result of the fire, assuming that the corporation had no Insurance coverage. Amount of the loss Show Work is REQUIRED for this questioni Open Show Work