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 $960000. Since june 30 until the time of the hurrixane, the company made purchases of $255,000 and had sales of $750000. Assuming the rate of gross profit to selling price ks 40% what is the approximate value of the inventory that was destroyed?

A) $960000

B) $544500

C) $615000

D) $765000

I know the answer is d but i am not sure why it is 765000. Can someone explain it please?