Required information PB6-3 (Algo) Recording Sales and Estimated and Actual Returns, and Analyzing Gross Profit Percentage [LO 6.4, LO 6-5] [The following information applies to the questions displayed below.] Rogers Supply (RS) is a local hardware store. RS uses a perpetual inventory system. The following transactions (summarized) have been selected for analysis: a. Sold merehandise for cash (cost of merchandise $244,350 ). b. Received merchandise returned by custoneri as unsatisfactory (but in perfect condition) for cash refund (original cost of merchandise $1,625 ). c. sold nerchandise (costing $3,600) to a custoner on account with terma n/30. e. Granted a partial allowance relating to eredit sales the eustomer in (c) had not yet paid. 1,200 d. Collected half of the balance owed by the custoner in (c). f. Antioipate further returns of merehandise (couting $1,550 ) after year-end from saleo sade during 2,400 the year. PB6-3 (Algo) Part 4 4. RS is considering a contract to sell building supplies to a local home builder for $21,000. These materials will cost RS $16,800. Would this contract increase (or decrease) RS's dollars of gross profit and its gross profit percentage? (Round "Gross Profit Percentage" to 1 decimal place.)