Jarvie loves to bike. In fact, he has always turned down better$-$paying jobs to work in bicycle shops where he gets an employee discount. At Jarvie's current shop, Bad Dog Cycles, each employee is allowed to purchase four bicycles a year at a discount. Bad Dog has an average gross profit percentage on bicycles of $25$ percent. During the current year, Jarvie bought the following bikes:

Description Retail Price Cost Employee Price

Specialized road bike $ $6,300$ $ $4,250$ $ $4,410$

Rocky Mountain mountain bike $7,6005,8006,080$

Trek road bike $4,0002,9302,800$

Yeti mountain bike $6,2004,4504,960$

a$.$ What amount is Jarvie required to include in taxable income from these purchases? b$.$What amount of deductions is Bad Dog allowed to claim from these transactions?