Calculate the estimated cost of each of the toppings lost

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Reference no: EM131222666

Smith Distributors, Inc., supplies ice cream shops with various toppings for making sundaes. On November 17, 2016, a fire resulted in the loss of all of the toppings stored in one section of the warehouse. The company must provide its insurance company with an estimate of the amount of inventory lost. The following information is available from the company's accounting records: Fruit Toppings Marshmallow Toppings Chocolate Toppings Inventory, January 1, 2016 $ 12,000 $ 6,200 $ 2,200 Net purchases through Nov. 17 110,000 28,000 11,200 Net sales through Nov. 17 160,000 47,000 19,200 Historical gross profit ratio 30 % 35 % 40 % Required: 1. Calculate the estimated cost of each of the toppings lost in the fire.

Reference no: EM131222666

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Calculate the estimated cost of each of the toppings lost : Smith Distributors, Inc., supplies ice cream shops with various toppings for making sundaes. On November 17, 2016, a fire resulted in the loss of all of the toppings stored in one section of the warehouse. Calculate the estimated cost of each of the ..

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