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Marin Company uses the gross profit method to estimate inventory for monthly reporting purposes. Presented below is information for the month of May. Inventory, May

Marin 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 $ 165,900
Purchases (gross) 633,400
Freight-in 30,300
Sales revenue 998,100
Sales returns 64,700
Purchase discounts 11,400

Compute the estimated inventory at May 31, assuming that the gross profit is 25% of net sales.

The estimated inventory at May 31

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