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28. On October 15, 2023, a fire destroyed all the stock of equipment of Modern Company in its rented stockroom. The records of the firm showed the following information: Inventory- January 1 Sales, January 1- October 15 Sales return and allowance Purchases, January 1- October 15 Purchase return and allowance Cost of stock in display room, not destroyed Summary of prior years' sales: 500,000 3,840,000 40,000 3,560,000 60,000 320,000 Sales Gross profit 2022 3,700,000 1,295,000 2021 3,500,000 1,050,000. 2020 3,000,000 750,000 How much is the estimated cost of merchandise lost in the fire on October 15, 2023? a. 1,400,000 b. 1,720,000 C. 1,530,000 d. 1,210,000
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