Assume the Perpetual inventory method is used.

1) The company purchased $12,100 of merchandise on account under terms 3/10, n/30.

2) The company returned $1,600 of merchandise to the supplier before payment was made.

3) The liability was paid within the discount period.

4) All of the Merchandise purchased was sold for &18,200 cash.

The amount of gross margin from the four transactions is:

A. $6,100

B. $5,917

C. $8,063

D. $8,015