Ballard Company uses the perpetual inventory system. The company purchased $8,700 of merchandise from Andes Company under the terms 4/10, net/30. Ballard paid for the merchandise within 10 days and also paid $320 freight to obtain the goods under terms FOB shipping point. All of the merchandise purchased was sold for $16,400 cash. What is the amount of gross margin that resulted from these business events? Multiple Choice $7,700 $7,728 $8,700 $7,380