1.Abbey Co. sold merchandise to Gomez Co. on account, $33,000, terms 2/15, net 45. The cost of the merchandise sold was $13,700. Abbey Co. issued a credit memo for $3,200 for merchandise returned that originally cost $1,500. Gomez Co. paid the invoice within the discount period. What is the amount of gross profit earned by Abbey Co. on the above transactions?

2.Using the following information, what is the amount of net income? Purchases $ 29,425 Selling expenses $ 751 Merchandise inventory, September 1 7,238 Merchandise inventory, September 30 8,277 Administrative expenses 604 Sales 53,207 Rent revenue 1,161 Interest expense 981

3.Using the following information, what is the amount of gross profit? Purchases $ 27,649 Selling expenses $ 894 Merchandise inventory, September 1 6,036 Merchandise inventory, September 30 10,317 Administrative expenses 839 Sales 45,459 Rent revenue 1,133 Interest expense 828