Indigo Company uses the gross profit method to estimate inventory for monthly reporting purposes. Presented below is information for the month of May. Inventory, May 1 Purchases (gross) Freight-in Sales revenue Sales returns Purchase discounts $165,90 633,400 30,300 1,098,100 64,700 11,400 Y (a) Your answer is correct. Compute the estimated inventory at May 31, assuming that the gross profit is 40% of net sales The estimated inventory at May 31 198160 SHOW SOLUTION SHOW ANSWER LINK TO TEXT VIDEO: SIMILAR EXERCISE Attempts: 3 of 3 used ? (b) Compute the estimated inventory at May 31, assuming that the gross profit is 40% ofcost. (Round percentage of sales to 2 decimal places, eg. 78.74% and final answer to 0 decimal places, eg. 6,225.) The estimated inventory at May 31