Appendix PR 6-7A Retail method; gross profit method $306,900 elected data on inventory, purchases, and sales for Celebrity Tan Co. and Ranchworks Co. are as follows: Cost Retail Celebrity Tan Co. Inventory, August 1 Transactions during August: $ 300,000 $ 575000 Purchases (net) Sales 2,021,900 3,170,000 3,250,000 Ranchworks Co. Inventory, March 1 Transactions during March through November: 880,000 Purchases (net) Sales 9,500,000 15,800,000 38% Estimated gross profit rate Instructions 1. Determine the estimated cost of the inventory of Celebrity Tan Co. on August 31 by the retail method, presenting details of the computations. 2. a. Estimate the cost of the inventory of Ranchworks Co. on November 30 by the gross pr method, presenting details of the computations. b. Assume that Ranchworks Co. took a physical inventory on November 30 and discovered that $369,750 of inventory was on hand. What was the estimated loss of inventory due to theft or damage during March through November