The records of Florida Tool Shop revealed the following information related to inventory destroyed in Hurricane Frances:
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The records of Florida Tool Shop revealed the following information related to inventory destroyed in Hurricane Frances:
Inventory, beginning of period $300,000
Purchases to date of hurricane 140,000
Net sales to date of hurricane 885,000
Gross profit ratio 55%
The company needs to file a claim for lost inventory with its insurance company. What is the estimated value of the lost inventory?
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Related Book For
Financial Accounting: A Business Process Approach
ISBN: 978-0136115274
3rd edition
Authors: Jane L. Reimers
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