PROBLEM 6: STATEMENT OF COGS & GROSS PROFIT Entity B's records show the following information on December 31, 20x1: Sales Sales discounts Sales returns Inventory, beg. Inventory, end. Purchases Freight-in Purchase discounts Purchase returns 320,000 10,000 8,000 27,000 32,000 145,000 7,000 4,000 3,000 Requirement: Prepare the statement of cost of goods sold and gross profit for the period