Sandhill Corphad $1,200,000 of inventory at December 31,2024 , with purchases of $360,000 and sales of $840,000 in 2025,5andhill Corp lost all but $120,000 of inventories due to a hurricane in 2025 . Using the gross profit method, calculate ending inventory independently using the following assumptions: 1. Sandhill's gross margin was 30% 2. Sandhill mark up on cost was 20% 3. Sandhill's cost of sales percentage was 60%