For Calendar 2020, Cost of Goods Available for Sale for Janus

question 43

Multiple Choice

For calendar 2020, cost of goods available for sale for Janus Corp. was $820,000. The average gross profit rate was 30%. Sales for the year were $600,000. What is the estimated dollar value of the inventory at December 31?

• A) $400,000
• B) $420,000
• C) $328,000
• D) $88,000