46.The showroom of Sundale Furniture was flooded due to a recent cyclone and its inventory was totally destroyed. Their accounting records were damaged but the following information was salvaged. Sales revenue (to date this period) $280 000 Beginning inventory (at retail) $50 000 Purchases (to date this period at retail) $430 000 Historical gross profit percentage 40% Assuming the historical gross profit ratio is maintained the estimated cost of inventory lost in the flood is: Group of answer choices 1.$80 000 2.$200 000 3.$60 000 4.$172 000

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A: "Goods destroyed by fire" refers to products, inventory, or other tangible assets that have been…

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A: Hi student Since there are multiple subparts, we will answer only first three subparts.

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Q: PROBLEM 17: The following information relate the night of January 19, 2023: Inventory, July 1, 2022…

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Q: Rahul

A: To compute the cost of goods destroyed, just please follow the following steps: Step 1: Calculate…

Q: Want help to solve this question

A: Step 1: Prepare a schedule to calculate the estimated loss on the inventory in the fire, using the…

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A: Cost of goods sold means the cost of goods which has been actually sold out during the year. When we…

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A: Gross Margin = (Total Revenue – Cost of Goods Sold)/Total Revenue

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A: Gross profit = sales * gross profit percentage

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A:

Q: Cullumber Legler requires an estimate of the cost of goods lost by fire on March 9. Merchandise on…

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A: Cost of goods sold:Cost of goods sold (COGS) refers to the direct costs of producing the goods sold…

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Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.