Gross Profit Section Given the following, prepare a detailed gross profit section for Goodman's Jewelry Wholesalers for the year ended December 31, 20X8 ($ in thousands):

Cash discounts on purchases Sales returns and allowances Gross purchases Merchandise inventory, December 31, 20X7 Gross profit $ 6 40 650 Cash discounts on sales Purchase returns and allowances Merchandise inventory, 103 December 31, 20x8 355 Freight in $ 5 27 185 50