Brent is the owner of an auto parts store. His records indicate that he had sales of $87,000. Customers return

Question

Brent is the owner of an auto parts store. His records indicate that he had sales of $87,000. Customers returned $2,500 worth of parts because of various defects. His cost of goods sold was $23,000. He did not have any other income. What is Brent's Schedule C (Form 1040) gross income?

GPT-5 mini · Answer

Schedule C gross income = (Gross receipts − Returns) − Cost of goods sold.

So: ($87,000 − $2,500) − $23,000 = $84,500 − $23,000 = $61,500.

Brent is the owner of an auto parts store. His records indicate that he had sales of $87,000. Customers returned $2,500 worth of parts because of various defects. His cost of goods sold was $23,000. He did not have any other income. What is Brent's Schedule C (Form 1040) gross income?

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