1. Purchases, $96; Gross Sales, $176; Sales Returns and Allowances, $15; Sales Discounts, $24; Operating Expenses, $55; Net Sales, $137; Freight-In, $9; Beginning Inventory, $18; EndingInventory, $8; Net Purchases, $62; Cost of Goods Sold, $ 81

a. The gross profit is __

(Use parentheses or a minus sign to show a net loss.)

b. The net income or net loss is __

2.

Jack's Online Service on April 30 has the following account balances:

Sales	$27,000
Sales Returns and Allowances	$10,000
Purchases	$16,000
FreightminusIn	$1,700
Purchase Returns and Allow.	$2,200
Purchases Discounts	$1,400

Net purchases for the period are:

3. The entry to record a payment on a $660 account within the 3% discount period would include a: (Round your calculation to the nearest whole dollar.)

A. debit to Cash for $660.

B. debit to Accounts Payable for $640.

C. debit to Accounts Payable for $660.

D. credit to Purchases for $640.