Question 5 Concord Corp. lost most of its inventory in a fire in December, just before the year-end physical inventory was taken. The corporation's books disclosed the following: Beginning inventory $390,000 Sales $1,245,300 Purchases for the year 800,000 Sales returns 49,000 Purchase returns 65,000 Gross margin on sales 42% Merchandise with a selling price of $38,000 remained undamaged after the fire. Damaged merchandise with an original selling price of $27,000 had a net realizable value of $11,600. (a) Calculate the amount lost because of the fire, assuming that the corporation had no Insurance coverage. Loss of inventory due to fire $