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Smith Distributors, Inc., supplies ice cream parlours with various toppings for making sundaes. On November 17, 2013, a fire caused the loss of all ingredients

Smith Distributors, Inc., supplies ice cream parlours with various toppings for making sundaes. On November 17, 2013, a fire caused the loss of all ingredients stored in a section of the warehouse. The company must provide its insurance company with an estimate of the amount of inventory lost. The following information is available in the accounting records of the company:

fruit
toppings
Malvavisco
Toppings
chocolate
toppings
Inventory, January 1, 2013ps22,000ps7,200ps3,200
Net purchases through November 17160.00038,00012,200
Net sales through November 17210,00057,00020,200
Historical Gross Benefit Ratio20%30%30%


Calculate the estimated cost of each of the ingredients lost in the fire.

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To estimate the cost of inventory lost in the fire we need to calculate the cost of goods sold COGS for each type of topping through November 17 2013 ... blur-text-image

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