Question
On July 5, 2018, a fire destroyed the entire inventory of Kinard Music Mart. The following information is available from its accounting records: Inventory, January
On July 5, 2018, a fire destroyed the entire inventory of Kinard Music Mart. The following information is available from its accounting records:
| Inventory, January 1, 2018 | $211,000 |
| Purchases, Jan. 1 July 5 | 500,000 |
| Sales, Jan. 1 July 5 | 900,000 |
| Normal gross margin | 30% |
Required:
Compute the estimated cost of inventory lost in the fire.
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Economic Influences On The Development Of Accounting In Firms
Authors: George J. Staubus
1st Edition
0367721325, 9780367721329
