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Question - You are called by Bright Co. on July 16 and asked to make a claim for insurance as a result of a theft that took place the night before. You suggest that an inventory be taken immediately. The following data are available.
Inventory, July 1 $38,000
Purchases-goods placed in stock July 1-15 90,000
Sales-goods delivered to customers (gross) 116,000
Sales returns-goods returned to stock 4,000
Your client reports that the goods on hand on July 16 cost $24,500. Your past records show that sales are made at approximately 20% over sale. Bright's insurance covers goods owned.
Required - What is the claim against the insurance company (e.g. the cost of inventory lost).
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