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Sheffield Company Limited uses the gross profit method to estimate inventory for monthly reports. Information follows for the month of May:
| Inventory, May 1 | | $ | 361,000 | |
| Purchases | | | 716,000 | |
| Freightin | | | 52,000 | |
| Sales | | | 1,350,000 | |
| Sales returns | | | 75,000 | |
| Purchase discounts | | | 11,100 |
Calculate the estimated inventory at May 31, assuming that the markup on cost is 25%.
| Estimated inventory, May 31 | | |
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