On June 8, 2016, a fire destroyed the warehouse of Wheat Saddlery. With the records at corporate headquarters, management was able to determine that the firm’s gross profit ratio had averaged 36% for the past several years and that the inventory at the beginning of the year was $381,340. It also was determined that during the year until the date of the fire, sales had totaled $647,350 and purchases totaled $321,290.
Required:
Calculate the amount of inventory loss from the fire.