Determining gross profit E4-1 b), 1 During the current year, merchandise is sold for $6,400,000. The cost of the goods sold is $5,376,000. a. What is the amount of the gross profit? b. Compute the gross profit percent. c. Will the income statement necessarily report a net income? Explain. Determining cost of goods sold E4-2 Obj. 1 For a recent year, Target Corporation (TGT) reported revenue of $72,618 million. Its gross profit was $21,340 million. What was the amount of Target's cost of goods sold? E4-3 Purchase-related transaction Obj. 2 Burr Company purchased merchandise on account from a supplier for $18,000, terms 2/10, n/30. Burr Company returned $3,000 of the merchandise before payment was made and received full credit. a. If Burr Company pays the invoice within the discount period, what is the amount of cash required for the payment? b. What account is decreased by Burr Company to record the return