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On August 3 1 , a hurricane destroyed a retail location of Vinny's Clothier including the entire inventory on hand at the location. The inventory

On August 31, a hurricane destroyed a retail location of Vinny's Clothier including the entire inventory on hand at the location. The inventory on hand as of June 30 totaled $1,920,000. From June 30 until the time of the hurricane, the company made purchases of $510,000 and had sales of $1,500,000. Assuming the rate of gross profit to selling price is 40%, what is the approximate value of the inventory that was destroyed?
a. $1,920,000
b. $1,089,000
c. $1,230,000
d. $1,530,000
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