Calculate the estimated cost of goods burned

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Question - Americana company merchandise that was in warehouse was destroyed due to a fire that occurred on April 30, 2022. Below are data taken from accounting records until April 30, 2022, as material for calculating fire losses

Sales 150,000,000

Sales Return 5,000,000

Ending inventory December 31, 2021 62,500,000

Purchase 112,500,000

Discounts on purchases of 2,500,000

Transportation costs for purchases 5,000,000

Based on past years' experience, it can be determined that the net sales profit is 35% of the net sales.

Required - Calculate the estimated cost of goods burned!

Reference no: EM133187679

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