CAB Ltd. Has collected the following data and asks you to prepare the Income statement:

Cost of Merchandise Sold	$144,852
Amortization Expense	$8,000
Loss on Goodwill	$3,306
NSF fees Expense	$1,300
Rental Equipment Expense	$1,000
Advances from customers	$500
Gain from asset disposition	$7,000
Accounts Receivable	$20,000
Sales Revenue	$150,000

Required 1: CABs net income (loss) for the year must have been: $

Required 2: CABs merchandising gross margin for the year must have been: $