Assume that Sheridan Company uses a periodic inventory system and has these account balances: Purchases $395,000, Purchase Returns and Allowances $11,900, Purchase Discounts $7,600, and Freight-In $17,400. Sheridan Company has beginning inventory of $62,000, ending inventory of $85,700, and net sales of $645,000. Determine the amounts to be reported for cost of goods sold and gross profit. Cost of goods sold Gross profit