Q. 23

Same information as the previous question. Auto Resales, Inc. started business on January 1, 20X1 (beginning inventory balance is zero). On January 1, 20x1 the company purchased all of the inventory for their used car sales lot. Purchase information is: Total cost of the cars purchased Number of cars purchased $1,500,000 100 Types of cars, number of cars, and sales price per car are as follows: Ford Number purchased 20 40 Sales price per car $10,000 $20,000 $25,000 Lexus BMW 40 100 Total number of lots During the year, Auto Resales, Inc. sold the following cars: Ford 8 Lexus 10 BMW 30 48 Total cars sold Ending inventory in units 52 Using the relative sales value approach, what is the total gross profit for 20X1? Numeric Response