I seriously doubt that LEO sales of FIREARMS are any gun store's "bread and butter" Here in GA, at Smyrna Police Distributors the Glocks are $200 off of civilian retail, the same goes for most of the long guns. I have talked with dozens upon dozens of dealers at shows and in stores, and they all mention their small profit margins, being in the single digit range. Store that sell to LEO's make money off of body armor, car lights, batons and all the rest of the accessories. Even clothing, just like JCPenny. My sister-in-law produces clothing articles for Glock that SPD sells for 300 percent or more of the actual cost. THAT is profit.
Gun stores have to behave like grocery stores which also have ridiculously low profit margins on items like food (1-5 percent). They bring customers in with the main attraction , guns (or food), and then sell the impulse and accessory items. I know from talking to owners that for a time there is an acceptable loss on firearms, such as Bargain Barn in Jasper. A few years ago they boosted their prices to get out of the hole and are now pretty much the same price as everywhere.
The point (yeah I rambled) is that any dealer that does not sell a firearm to a person legally able to purchase it is a fool and a coward. Obivously they are scared that the next "evil" gun they sell is going to be the next used in a shooting. Following the same logic, if they were a car dealer, they would only sell cars to the likes of Mario Andretti.....and go out of business. I am sorry that people on this board have run into dealers such as that, but as more and more American's turn into cowards, afraid to take any risk of losing their cushy lifestyles...it will happen more and more.