QS 6-22B Estimating inventories—gross profit method LO P4 Confucius Bookstore’s inventory is destroyed by a fire on September 5. The following data for the current year are available from the accounting records. Beginning inventory, Jan. 1 $ 260,000 Jan. 1 through Sept. 5 purchases (net) $ 391,000 Jan. 1 through Sept. 5 sales (net) $ 782,000 Current year's estimated gross profit rate 33 % Estimate the cost of the inventory destroyed.

Afirm wants to strengthen its financial position. which of the following actions would increase its current ratio? a. reduce the company's days' sales outstanding to the industry average and use the resulting cash savings to purchase plant and equipment.b. use cash to repurchase some of the company's own stock.c. borrow using short-term debt and use the proceeds to repay debt that has a maturity of more than one year.d. issue new stock, then use some of the proceeds to purchase additional inventory and hold the remainder as cash.e. use cash to increase inventory holdings.