QUESTION 7 Katzenjammer Inc., sells guitars and reports the following balances in $US at December 31, 2019: Sales Revenue $400,000 Cash received from Guitar Sales $425,000 Bad Debt Expense $30,000 Allowance for Doubtful Accounts $17.000 Cost of Goods Sold $250,000 Cash Paid for Guitars $175,000 Sales Discounts $10,000 Accounts Receivable I $40,000 What amount would be reported as Gross Profit? O a. $165,000 O b.$150,000 Ocs O d. $140,000 $110,000