Required information Problem 12-48 (LO 12-3) (Algo) [The following information applies to the questions displayed bolow] 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: Problem 12.48 Part a (Algo) a. What amount is Jarvie required to include in taxable income from these purchases? Required information Problem 12-48 (LO 12-3) (Algo) [The following information applies to the questions displayed below] 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 of a discount, Bad Dog has an average gross profit percentage on bicycles of 25 percent. During the current year, Jarvie hounht the followina bikes: Problem 12-48 Part b (Algo) b. What amount of deductions is Bad Dog allowed to claim from these transactions