Required information CP6-3 (Algo) Recording Cash Sales, Credit Sales, Estimated and Actual Sales Returns, and Sales Allowances, and Analyzing Gross Profit Percentage [LO 6-4, LO 6-6) [The following information applies to the questions displayed below] Handy Howard's Incorporated, is a student co-op. Handy Howard uses a perpetual inventory system. The following transactions (summarized) have been selected for analysis o. Sold merchandise for cash (cost of merchandise $167,470) $ 305,250 b. Received merchandise returned by customers as unsatisfactory (but in perfect condition) for cash refund (original cost of merchandise 5644), 1,740 c. Sold merchandise (costing 59,990) to a customer an account th terns n/20 22, 200 d. Collected half of the balance owed by the customer in (c). 11,100 e. Granted a partial allowance relating to credit sales the custooer in (c) had not yet paid. 1,320 fi Anticipate further returns of merchandise (costing $222) after month-end from sales made during the sonth 310 CP6-3 (Algo) Part 4 CP6-3 (Algo) Part 4 4. Handy Howard is considering a contract to sell merchandise to a Handy Howard organization for $17.200. This merchandise will cost Handy Howard $13,760. Would this contract increase (or decrease) Handy Howard dollars of gross profit and its gross profit percentage? TIP The impact on gross profit dollars may differ from the impact on gross profit percentage (Round "Gross Profit Percentage" to 1 decimal place.) by Gross Profit Gross Profit Percentage to 95