Hair World Inc. is a wholesaler of hair supplies. Hair World uses a perpetual inventory system. The following transactions (summarized) have been selected for analysis:

a.	Sold merchandise for cash (cost of merchandise $40,797).	$	75,200
b.	Received merchandise returned by customers as unsatisfactory (but in perfect condition) for cash refund (original cost of merchandise $540 ).		900
c.	Sold merchandise (costing $7,600 ) to a customer on account with terms n/60.		16,000
d.	Collected half of the balance owed by the customer in (c).		8,000
e.	Granted a partial allowance relating to credit sales the customer in (c) had not yet paid.		256

PA6-3 Part 1

Required:

1. Compute Net Sales and Gross Profit for Hair World.