Sporting Pro wants to prepare interim financial statements for the first quarter of 2020 but would like to avoid making a physical count of inventory. During the last five years, the company’s gross profit rate has averaged 47%. The following information for the year’s first quarter is available from its records:

January 1 beginning inventory ............................... $ 350,260
Purchases .................................................................... 995,200
Purchase returns .......................................................... 14,050
Transportation-in ............................................................ 7,900
Sales .......................................................................... 1,291,150
Sales returns ................................................................... 9,950

Required

Use the gross profit method to prepare an estimate of the company’s March 31 inventory.