Question 21 1 pts On August 31, a flood destroyed a retail location of Smith's...
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Question 21 1 pts On August 31, a flood destroyed a retail location of Smith's Sport including the entire inventory on hand at the location. The inventory on hand as of June 30 totaled $1,920,000. Since June 30 until the time of the hurricane, the company made purchases of $510,000 and had sales of $1,500,000. Assuming the rate of gross profit to selling price is 40%, what is the approximate value of the inventory that was destroyed? $1,230,000. O $1,530,000. $1,920,000. O $1,089,000. Question 22 1 pts Jones Inc, a manufacturer of soup, contracted in 2020 to purchase 600 pounds of a soup additive at $3.00 per pound, delivery to be made in spring of 2021. By 12/31/20, the price per pound of the spice mixture had risen to $3.25 per pound. In 2020, Jones should recognize O a loss of $1,800. O a loss of $150. O a gain of $150. O no gain or loss
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