Greer Company's Accounting Records Indicated the Following Information: a Physical

Multiple Choice

Greer Company's accounting records indicated the following information: A physical inventory taken on December 31, 2010, resulted in an ending inventory of $700,000.Greer's gross profit on sales has remained constant at 30% in recent years.Greer suspects some inventory may have been taken by a new employee.At December
31, 2010, what is the estimated cost of missing inventory?

A) $100,000.
B) $150,000.
C) $200,000.
D) $800,000.