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Century 21 Accounting Multicolumn Journal

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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Need help with this question solution general accounting

The merchandise inventory was destroyed by fire on
December 13. The following data were obtained from the
accounting records:
Jan. 1
Merchandise inventory
$295,000
Jan. 1-Dec. 13 Purchases (net)
$1,973,000
Sales (net)
$3,600,000
Estimated gross profit rate 44%
Estimate the cost of the merchandise destroyed.

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The merchandise inventory was destroyed by fire this question solution
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