Retail Method; Gross Profit Method Selected data on inventory, purchases, and sales for Jaffe Co. and Coronado Co. are as follows: Jaffe Co. Inventory, February 1 Transactions during February: Purchases (net) Sales Coronado Co. Cost Retail $400,000 $615,000 4,055,000 5,325,000 5,100,000 Inventory, May 1 $400,000 Transactions during May through October: Purchases (net) 3,150,000 Sales 4,750,000 Estimated gross profit rate 35% Required: 1. Determine the estimated cost of the inventory of Jaffe Co. on February 28 by the retail method, presenting details of the computations. Jaffe Co. Estimated Cost of Inventory February 28 Ratio of cost to retail price: % Cost Retail 0000 000 2a. Estimate the cost of the inventory of Coronado Co. on October 31 by the gross profit method, presenting details of the computations. Coronado Co. Estimated Cost of Inventory October 31 Cost 2b. Assume that Coronado Co. took a physical inventory on October 31 and discovered that $366,500 of inventory was on hand. What was the estimated loss of inventory due to theft or damage during May through October?