*P6-10A Bao Company lost all of its inventory in a fire on December 26, 2017. The account- ing records showed the following gross profit data for November and December. December November (to 12/26) Net sales $600,000 $700,000 Beginning inventory 32,000 36,000 Purchases 389,000 420,000 Purchase returns and allowances 13,300 14,900 Purchase discounts 8,500 9,500 Freight-in 8,800 9,900 Ending inventory 36,000 ? Bao is fully insured for fire losses but must prepare a report for the insurance company. Instructions (a) Compute the gross profit rate for November. (b) Using the gross profit rate for November, determine the estimated cost of the inventory lost in the fire