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: $ 324,500 3. Sold merchandise for cash (cost of merchandise $177,270). b. Received merchandise returned by customers as unsatisfactory (but in perfect condition) for cash refund (original cost of merchandise $672). C. Sold merchandise (costing $10,620) to a customer on account with terms n/30. d. Collected half of the balance owed by the customer in (c). e. Granted a partial allowance relating to credit sales the customer in (c) had not yet paid. 1. Anticipate further returns of merchandise (costing $236) after month-end from sales made during the month 1,630 23,600 11,800 1,460 880 CP6-3 (Algo) Part 1 Required: 1. Compute Net Sales and Gross Profit for Handy Howard