Leather Goods Company began the year with inventory of ($ 50,000) and purchased ($ 250,000) of goods

Question:

Leather Goods Company began the year with inventory of $\$ 50,000$ and purchased $\$ 250,000$ of goods during the year. Sales for the year are $\$ 500,000$, and Leather Goods' gross profit percentage is $55 \%$ of sales. Compute the estimated cost of ending inventory by the gross profit method.

Fantastic news! We've Found the answer you've been seeking!