Hani Company sells its matchandise at a gross profit of 50% of cost. The following figures are among those pertaining to Hani's operations for the six months ended June 30, 2011

sales 230,000

(Beg) Inventory 50,000

Purchases 320,000

Sales Discount 20,000

Freight-In 10,000

Freight-Out 40,000

On June 30, 2011, Hani's inventory was completely destroyed by fire. Use Gross Profit Method to estimate the cost of the destroyed inventory.