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The following information is available for October for Barton Company.
Net purchases 300,000
Beginning inventory $ 50,000
Net sales 400,000
Percentage markup on cost 66.67%
Problem 1: A fire destroyed Barton's October 31 inventory. Only $10,000 of inventory was salvaged. Using the gross profit method, how much is the estimated inventory destroyed by fire? Round to even amounts.
Recall the chapter's opening feature involving Omar Soliman and Nick Friedman, and their company, College Hunks Hauling Junk LLC.
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