Response to the following problem:
Dooling Store's inventory is destroyed by a fire on September 5, 2011. The following data for year 2011 are available from the accounting records. Estimate the cost of the inventory destroyed.
Jan. 1 inventory . . . . . . . . . . . . . . . . . . . . . . . . . . . $180,000
Jan. 1 through Sept. 5 purchases (net) . . . . . . . . . $342,000
Jan. 1 through Sept. 5 sales (net) . . . . . . . . . . . . . . $675,000
Year 2011 estimated gross profit rate . . . . . . . . . 42%