Computing Gross Profit

The following data were taken from the accounts of Fluter Hardware, a small retail business.

Sales	$122,600
Sales returns and allowances	850
Sales discounts	740
Merchandise inventory, January 1	35,700
Purchases during the period	76,600
Purchases returns and allowances during the period	4,250
Purchases discounts taken during the period	2,220
Freight-in on merchandise purchased during the period	1,330
Merchandise inventory, December 31	32,400

Determine the gross profit.