Over the past 3 years, the gross profit rate for Jini Company was 42%. Last week a fire destroyed all Jini’s inventory. Beginning inventory $ 6,350 Net purchases 64,700 Net sales at retail 49,700 Using the gross profit method, estimate the cost of inventory destroyed in the fire, given the above facts that were recorded in a fireproof safe.
Over the past 3 years, the gross profit rate for Jini Company was 42%. Last week a fire destroyed all Jini’s inventory. Beginning inventory $ 6,350 Net purchases 64,700 Net sales at retail 49,700 Using the gross profit method, estimate the cost of inventory destroyed in the fire, given the above facts that were recorded in a fireproof safe.
Century 21 Accounting Multicolumn Journal
11th Edition
ISBN:9781337679503
Author:Gilbertson
Publisher:Gilbertson
Chapter20: Accounting For Inventory
Section: Chapter Questions
Problem 1CP
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Over the past 3 years, the gross profit rate for Jini Company was 42%. Last week a fire destroyed all Jini’s inventory.
Beginning inventory | $ | 6,350 | ||
Net purchases | 64,700 | |||
Net sales at retail | 49,700 | |||
Using the gross profit method, estimate the cost of inventory destroyed in the fire, given the above facts that were recorded in a fireproof safe.
inventory destroyed?
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