Gross Profit Percentage An accountant sometimes must convert gross profit as a percent of cost of goods sold to gross profit as a percent of sales before the gross profit method can be applied. Required: Convert the following gross profit percentages based on the cost of goods sold to gross profit as a percentage of net sales: Round your answers to one decimal place. Do not enter any amounts as a fraction. 1. 20% : % 2. 25% : % 3. 40% : % Short-Term Debt Expected to Be Refinanced On December 31, 2019, Carrboro Textile Company had short-term debt in the form of notes payable totaling $400,000. These notes were due on June 1 , 2020. Carrboro expected to refinance these notes on a long-term basis. On February 1, 2020, Carrboro entered into an agreement with Worldwide Life Insurance Company whereby Worldwide will lend Carrboro $320,000, payable in 5 years at 12%. The money will be available to Carrboro on May 20, 2020. Carrboro issues its December 31 , 2019, year-end financial statements on March 2, 2020. Required: 1. Show how the $400,000 notes payable will be classified on Carrboro Textile's balance sheet on December 31, 2019. 2. If short-term debt that is expected be refinanced is classified as a long-term liability the company has shown to classify the obligation as a long-term liability. to refinance at which point it is