15. The following information appears in Gordon Company's records for the year ended December 31: Inventory, January 1 $ 325,000 Purchases 1,150,000 Purchase returns 40,000 Freight in 30,000 Sales 1,700,000 25,000 Sales discounts On December 31, a physical inventory revealed that the ending inventory was only $210,000. Gordon's gross margin on net sales has remained constant at 30 percent in recent years. Gordon suspects that some inventory may have been pilfered by one of the company's employees. At December 31, what is the estimated cost of missing inventory? a. $75,000 b. $82,500 c. $210,000 d. $292,500

15. The following information appears in Gordon Company's records for the year ended December 31: Inventory, January 1 $ 325,000 Purchases 1,150,000 Purchase returns 40,000 Freight in 30,000 Sales 1,700,000 25,000 Sales discounts On December 31, a physical inventory revealed that the ending inventory was only $210,000. Gordon's gross margin on net sales has remained constant at 30 percent in recent years. Gordon suspects that some inventory may have been pilfered by one of the company's employees. At December 31, what is the estimated cost of missing inventory? a. $75,000 b. $82,500 c. $210,000 d. $292,500

Name: 15. The following information appears in Gordon Company's records for
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Description: 15. The following information appears in Gordon Company's records for the year ended December 31:Inventory, January 1$325,000Purchases1,150,000Purchase returns40,000Freight in30,000Sales1,700,000Sales discounts25,000On December 31, a physical invent

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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