On April 8, 2010, a flood destroyed the warehouse of Stuco Distributing Co. From the waterlogged records of the company, management was able to determine that the firm's gross profit ratio had averaged 37% for the past several years and that the inventory at the beginning of the year was $52,700. It also was determined that during the year until the date of the flood, sales had totaled $107,100 and purchases totaled $69,780.
Required:
Calculate the amount of inventory loss from the flood.