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P$6-10$A$$ Compute gross profit rate and inventory loss using gross profit method $$ Suzuki Company lost$$ all of its inventory in a fire on December $26,2022.$ The accounting records showed the $$ following inventory$-$related data for November and December. $$

$$ November December $($to $12/26)$

Net sales $$600,000$ $$700,000$

Beginning inventory $32,00036,000$

Purchases $389,000420,000$

Purchase returns and allowances $13,30014,900$

Purchase discounts $8,5009,500$

Freight$-$in $8,8009,900$

Ending inventory $36,000?$

Suzuki is fully insured for fire losses but must prepare a report for the insurance company. $$ Instructions $$

$($a$)$ Compute the gross profit rate for November. $$

$($b$)$ Using the gross profit rate for November; determine the estimated cost of the inventory lost in the fire. $$ NOTE:$$ Enter a number in cells requesting a value; enter either a number or a formula in cells with a $"?".$ P$6-10$A Compute gross profit rate and inventory loss using gross profit method

Suzuki Company lost all of its inventory in a fire on December $26,2022.$ The accounting records showed the following inventory$-$related data for November and December.

Suzuki is fully insured for fire losses but must prepare a report for the insurance company.

Instructions

$($a$)$ Compute the gross profit rate for November.

$($b$)$ Using the gross profit rate for November; determine the estimated cost of the inventory lost in the fire.

NOTE: Enter a number in cells requesting a value; enter either a number or a formula in cells with a $"?".$

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