Question: Windsor, Incorporated uses a perpetual inventory system and reported $ 5 1 6 , 5 0 0 of inventory at the beginning of the month

Windsor, Incorporated uses a perpetual inventory system and reported $516,500 of inventory at the beginning of the month based on a physical count of inventory. During the month, the company bought $60,200 of inventory and sold inventory that had cost $42,750. At the end of the month, the physical count of inventory shows $520,000 on hand. How much shrinkage occurred during the month?
$28,800
$3,500
$56,700
$13,950

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