315 Chapter 6 Inventories Appendix PR 6-7B Retail method; gross profit method Selected da Co. are as follows: ta on merchandise inventory, purchases, and sales for Jaffe Co. and Coronado Cost Retail Jaffe Co. Merchandise inventory, February 1 Transactions during February: $ 400,000 615,000 5,325,000 5,100,000 Purchases (net) 4,055,000 Sales Coronado Co. Merchandise inventory,May 400,000 Transactions during May thru October: Purchases (net) Sales 3,150,000 4,750,000 35% Estimated gross profit rate tructions Determine the estimated cost of the merchandise inventory of Jaffe Co. on 28 by the retail method, presenting details of the computations. Februar . Estimate the cost of the merchandise inventory of Coronado Co. on October 31 b the gross profit method, presenting details of the computations. Assume that Coronado Co. took a physical inventory on October 31 and discover that $366,500 of merchandise was on hand. What was the estimated loss of inve tory due to theft or damage during May thru October? Ethics and professional conduct in husing