Tim legler requires an estimate of the cost of goods lost by fire on march 9. merchandise on hand on january 1 was $38,390. purchases since january 1 were $92,340; freight-in, $4,700; purchase returns and allowances, $2,400.
sales are made at 33 1/3% above cost and totaled $123,600 to march 9. goods costing $11,850 were left undamaged by the fire; remaining goods were destroyed.

required:

(a) compute the cost of goods destroyed.

(b) compute the cost of goods destroyed, assuming that the gross profit is 33 1/3% of sales.

(round ratios for computational purposes to 5 decimal places, e. g. 78.72345% and final answer to 0 decimal places, e. g. 28,987.)