The Banks Company had its entire inventory destroyed when a fire swept through the company's warehouse on April 30, 2013. Fortunately, the accounting records were locked in a fireproof safe and were not damaged. The following information for the period up to the date of the fire was taken from the accounting records Required:
Assuming that the gross margin has averaged 35 percent of selling price, what is the estimated value of the inventory destroyed in the fire? Show all calculations in good form.

Question

The Banks Company had its entire inventory destroyed when a fire swept through the company's warehouse on April 30, 2013. Fortunately, the accounting records were locked in a fireproof safe and were not damaged. The following information for the period up to the date of the fire was taken from the accounting records  Required:
Assuming that the gross margin has averaged 35 percent of selling price, what is the estimated value of the inventory destroyed in the fire? Show all calculations in good form.

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The Answer of The Banks Company had its entire inventory destroyed when a fire swept through the company's warehouse on April 30, 2013. Fortunately, the accounting records were locked in a fireproof safe and were not damaged. The following information for the period up to the date of the fire was taken from the accounting records  Required:
Assuming that the gross margin has averaged 35 percent of selling price, what is the estimated value of the inventory destroyed in the fire? Show all calculations in good form.

The Banks Company Had Its Entire Inventory Destroyed When a Fire