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I need to get ending inventory. On January 1, The Parts Store had a $390,000 inventory at cost. During the first quarter of the year,
I need to get ending inventory.
On January 1, The Parts Store had a $390,000 inventory at cost. During the first quarter of the year, it purchased $1,530,000 of merchandise, returned $20,100, and paid freight charges on purchased merchandise totalling $34,600. During the past several years, the store's gross profit on sales has averaged 25%. Under the assumption the store had $1,940,000 of sales during the first quarter of the year, use the gross profit method to estimate its inventory at the end of the first quarter.
ending inventory:
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