_74-3. Beginning inventory for SQUISHY PLUM Company for February was ($28,000. During the next three...
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_74-3. Beginning inventory for SQUISHY PLUM Company for February was ($28,000. During the next three weeks SQUISHY purchased more(plums for $33,000. They also generated sales revenue of $70,000 during these three weeks through the sale of plums. Unfortunately for SQUISHY their refrigeration suddenly went out one evening, turning their inventory into a soupy glop that was thrown away. SQUISHY wants to file an insurance claim for the cost of the lost inventory but they need to estimate the value of ending inventory immediately prior to the disaster. In the past SQUISHY has had a gross margin percentage of 70%. Please estimate the value of ending inventory using the gross margin method. _74-3. Beginning inventory for SQUISHY PLUM Company for February was ($28,000. During the next three weeks SQUISHY purchased more(plums for $33,000. They also generated sales revenue of $70,000 during these three weeks through the sale of plums. Unfortunately for SQUISHY their refrigeration suddenly went out one evening, turning their inventory into a soupy glop that was thrown away. SQUISHY wants to file an insurance claim for the cost of the lost inventory but they need to estimate the value of ending inventory immediately prior to the disaster. In the past SQUISHY has had a gross margin percentage of 70%. Please estimate the value of ending inventory using the gross margin method
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