A fire destroyed the Churchhill Company's warehouse on March 15, 2014. Only goods with a normal selling price of $12,500 and a net realizable value of $5,000 were saved. The following information is available from the company's records : Inventory in warehouse, 01/01/2014 $250,000 Purchases 01/01/14- 03/15/14 $620,000 Purchase returns $9,500 Freight-in $14,000 $850,000 Sales, 01/01/13 - 03/15/14 Sales Return $20,000 For the period from 2009 - 2013, Churchill had a gross profit of $2,100,000 on net sales of $6,000,000. Estimate Churchill's inventory loss from the fire using the Gross Profit method.

Required: calculate the estimated loss on the inventory

Help me with this question

Calculate the estimated loss

Wormold Industries suffered a fire in its warehouse on March 4, 2021. The warehouse was fullof finished goods, and after reviewing the damage, management determined that inventory,with a retail selling price of $90,000, was not damaged by the fire.For the period from January 1, 2021, to March 4, 2021, accounting records showed thefollowing: Purchases $650,000Purchase returns 16,000Sales revenue 955,000 The inventory balance on January 1, 2021, was $275,000, and the company has historicallyearned a gross profit percentage of 35%.Required: Use the gross profit method to determine the cost of inventory damaged by the fire.

Question: On November 21, 2013, a fire at Hodge Company's warehouse caused severe damage to its entire inventory of Product Tex. Hodge estimates that all usable damaged goods can be sold for $12,000. The following information was available from Hodge's accounting records for Product Tex: Inventory at November 1, 2013: $104,000 Purchases from November 1, 2013, to date of fire : 143,000 Net sales from November 1, 2013, to date of fire : 236,000 Based on recent history, Hodge had a gross margin (profit) on Product Tex of 30% of net sales. Prepare a schedule to calculate the estimated loss on the inventory in the fire, using the gross profit method.

The Star Company's inventory was partially destroyed on July 4, 2004, when its warehouse caught on fire early in the morning. Inventory that had a cost of $8,500 was saved. The accounting records, which were located in a fireproof vault, contained the following information. Sales (1/1/04 through 7/3/04) $225,000 Purchases (1/1704 through 7/3/04) 180,000 Inventory (1/1/04) 45,000 Gross Profit Ratio 25% of cost Using the gross profit method, what is the estimated cost of the inventory destroyed by the fire? a. $17,500b. $25,000c. $30,000d. $36,500

Want help to solve this question

QUESTION: ON NOVEMBER 21, 2016, A FIRE AT HODGE COMPANY'S WAREHOUSE CAUSED SEVERE DAMAGE TO ITS ENTIRE INVENTORY OF PRODUCT TEX. HODGE ESTIMATES THAT ALL USABLE DAMAGED GOODS CAN BE SOLD FOR $17,000. THE FOLLOWING INFORMATION WAS AVAILABLE FROM THE RECORDS OF HODGE'S PERIODIC INVENTORY SYSTEM: INVENTORY, NOVEMBER 1 $ 125,000 NET PURCHASES FROM NOVEMBER 1, TO THE DATE OF THE FIRE 145,000 NET SALES FROM NOVEMBER 1, TO THE DATE OF THE FIRE 225,000 BASED ON RECENT HISTORY, HODGE'S GROSS PROFIT RATIO ON PRODUCT TEX IS 40% OF NET SALES. REQUIRED: CALCULATE THE ESTIMATED LOSS ON THE INVENTORY FROM THE FIRE, USING THE GROSS PROFIT METHOD.

Question: A fire destroyed a warehouse of the Goren Group, Inc., on May 4, 2016. Accounting records on that date indicated the following: Merchandise inventory, January 1, 2016 $2,090,000 Purchases to date Freight-in Sales to date 5,990,000 590,000 10,100,000 The gross profit ratio has averaged 30% of sales for the past four years. Required: Use the gross profit method to estimate the cost of the inventory destroyed in the fire.