On April 15 of the current year, a fire destroyed the entire uninsured inventory of a retail store. The following data are available:

Sales, January 1 through April 15

$600,000

Inventory, January 1

100,000

Purchases, January 1 through April 15

500,000

Markup on cost

25%

The amount of the inventory loss is estimated to be

Select one:

A. $60,000.

B. $120,000.

C. $150,000.

D. $100,000.