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

Exercise 9-12 Mark Price Company uses the gross profit method to estimate inventory for monthly reporting purposes. Presented below is information for the month of May. 176,500 Inventory, May 1 646,300 Purchases (gross) Freight-in 31,900 1,093,600 Sales revenue 73,300 Sales returns Purchase discounts 12,280 (a) Compute the estimated inventory at May 31, assuming that the gross profit is 30% of sales. The estimated inventory at May 31 (b) Compute the estimated inventory at May 31, assuming that the gross profit is 30% of cost. (Round percentage of sales to 2 decimal places e.g. 78.74% and final answer to o decimal places, e.g. 6,225.) The estimated inventory at May 31