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On July 8, a fire destroyed the entire merchandise inventory on hand of Larrenaga Wholesale Corporation. The following information is available: Sales, January 1 through
On July 8, a fire destroyed the entire merchandise inventory on hand of Larrenaga Wholesale Corporation. The following information is available:
| Sales, January 1 through July 8 | $ | 688,000 | |
| Inventory, January 1 | 143,000 | ||
| Purchases, January 1 through July 8 | 644,000 | ||
| Gross profit ratio | 23 | % | |
What is the estimated inventory on July 8 immediately prior to the fire?
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