On August 31, a hurricane destroyed a retail location of Vinny's Clothier including the entire inventory on hand at the location. The following information is available: Inventory on hand as of June 30 $950,000 Purchases since June 30th to August 1st $510,000 Purchase Return since June 30th to August 1st $30,000 Freight in cost $15,000 Sales since June 30th to August 1st $1,500,000 Sales Return since June 30th to August 1st $60,000 Assuming the rate of gross profit as a percentage of sales is 40%, the approximate value of the inventory that was destroyed by hurricane is = Assuming the rate of gross profit as a percentage of cost is 40%, the approximate value of the inventory that was destroyed by hurricane is =
On August 31, a hurricane destroyed a retail location of Vinny's Clothier including the entire inventory on hand at the location. The following information is available:
|
Inventory on hand as of June 30 |
$950,000 |
|
Purchases since June 30th to August 1st |
$510,000 |
|
Purchase Return since June 30th to August 1st |
$30,000 |
|
Freight in cost |
$15,000 |
|
Sales since June 30th to August 1st |
$1,500,000 |
|
Sales Return since June 30th to August 1st |
$60,000 |
Assuming the rate of gross profit as a percentage of sales is 40%, the approximate value of the inventory that was destroyed by hurricane is =
Assuming the rate of gross profit as a percentage of cost is 40%, the approximate value of the inventory that was destroyed by hurricane is =
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