Jason Company needs to estimate the inventory balance for its quarterly financial statements. The periodic inventory method

Question:

Jason Company needs to estimate the inventory balance for its quarterly financial statements. The periodic inventory method is used. Records show that quarterly sales totaled $550,000, beginning inventory was $95,000, and net purchases totaled $300,000; the historical gross margin percentage has averaged approximately 40%.
1. What is the approximate amount of ?
2. If a physical count shows only $40,000 in inventory, what could be the explanation for the difference?

Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula Ending Inventory Formula =...