On April 15, 2021, fire damaged the office and warehouse of Ayayai Corporation. The only accounting record saved was the general ledger, from which the balance sheet data below was prepared.

AYAYAI CORPORATION MARCH 31, 2021
Cash	$19,230
Accounts receivable	42,450
Inventory, December 31, 2020	72,170
Land	35,190
Buildings	113,870
Accumulated depreciation		$40,663
Equipment	3,260
Accounts payable		24,316
Other accrued expenses		5,952
Common stock		104,900
Retained earnings		54,140
Sales revenue		135,040
Purchases	54,140
Miscellaneous expense	24,701
	$365,011	$365,011

The following data and information have been gathered.

1.

The fiscal year of the corporation ends on December 31.

2.

An examination of the April bank statement and canceled checks revealed that checks written during the period April 115 totaled $13,490: $5,148 paid to accounts payable as of March 31, $3,264 for April merchandise shipments, and $3,859 paid for other expenses. Deposits during the same period amounted to $12,888, which consisted of receipts on account from customers with the exception of a $1,031 refund from a vendor for merchandise returned in April.

3.

Correspondence with suppliers revealed unrecorded obligations at April 15 of $15,220 for April merchandise shipments, including $2,198 for shipments in transit (f.o.b. destination) on that date.

4.

Customers acknowledged indebtedness of $49,170 at April 15, 2021. It was also estimated that customers owed another $7,760 that will never be acknowledged or recovered. Of the acknowledged indebtedness, $658 will probably be uncollectible.

5.

The companies insuring the inventory agreed that the corporations fire-loss claim should be based on the assumption that the overall gross profit rate for the past 2 years was in effect during the current year. The corporations audited financial statements disclosed this information:

		Year Ended December 31
		2020		2019
Net sales		$487,270		$416,570
Net purchases		278,140		232,620
Beginning inventory		51,200		64,120
Ending inventory		72,170		51,200

6.

Inventory with a cost of $7,470 was salvaged and sold for $3,720. The balance of the inventory was a total loss.

Compute the amount of inventory fire loss. (Round ratios for computational purposes to 2 decimal places, e.g 78.52% and final answer to 0 decimal places, e.g. 28,987.)

Inventory fire loss