On December 31, 2019, a fire destroyed most of the inventory of M&E Company. Inventory with a selling price of $100,000 remained undamaged after the fire. Information follows for the year ending December 31, 2019: Inventory (beg of year): Purchases: Purchase discounts: $978,000 $691,000 $ 14,100 Sales returns: $67,600 Sales: $1,450,000 Freight in: $47,000 Instructions: a) Calculate the estimated inventory destroyed in the fire, assuming that the gross profit is 30% of sales. b) Prepare the journal entry to record the loss of destroyed inventory. In the same entry, record cost of goods sold for the year ended December 31, 2019. c) How would the loss be classified on the multi-step income statement of M&E