Agler Company suffered a loss of its inventory on March 28 due to a fire in its warehouse. As a basis for filing a claim with its insurance company, Agler Company developed the following information: 
The company has experienced an average gross profit rate of 35% in the past and this rate appears to be appropriate in the current period.
Instructions
Using the gross profit method, prepare an estimate of the cost of the inventory destroyed by fire on March 28. Show all computations in good form.
Definitions:
Corporation
A legal entity owned by shareholders, recognized as a separate entity from its owners, with rights and liabilities distinct from those of its members.
Transferable Shares
Shares that can be transferred from one party to another, typically without restriction.
Corporation
A legal entity recognized by law as separate from its owners, capable of conducting business, entering into contracts, and owning assets, with shareholders who invest money for the potential of profitability.
Large Companies
Businesses or organizations that operate on a large scale, often having extensive operations, personnel, and financial turnover.
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