Estimated of Fire Loss: on January 202014 records revealed the following:Invento

Estimated of Fire Loss: on January 202014 records revealed the following:Inventory July12013 $52600Purchases July 1 2013 January 29 2014 $368000Sales July 1 2013 January 29 2014 $583000Purchases returns $11200Purchases discounts taken $5800Freight-in $3800Sales returns $6600A fire destroyed the entire inventory on January 20 2014 except for purchases in transitFOB shippingpoint of $6000 and goods have a selling price of $4700 that were salvaged from the fire. The salvaged goods had an estimated salvage value of $2900. The average gross profit on net sales in previous periods was 40%.1. Calculatecost of goodsavailable for sale and on hand2. Calculate COGS3. Calculate Cost of Goods Salvaged4. Compute the cost of the inventory lost in the fire