42. A flash flood swept through FMB, Inc.’s warehouse on May…
42. A flash flood swept through FMB, Inc.’s warehouse on May 1. After the flood, FMB’s accounting records showed the following: Inventory, January 1 $ 45,000 Purchases, January 1 through May 1 $ 145,000 Sales, January 1 through May 1 $ 200,000 Inventory not damaged by flood $ 60,000 Gross profit percentage on sales 45% What amount of inventory was lost in the flood?