1. The December 31, 2008 finished goods inventory is stated net of a reserve for a possible decline in market value of $57,000. 2. Included in general and administrative expenses are the following transactions: (a) landscaping $17,000 (b) cost associated with the valuation of land 2,800 (c) donations consisting of $63,000 to registered charities and $1,000 to registered political parties 64,000 (d) premium for term life insurance policy on the president in which the company is the beneficiary and the policy is used as collateral for a bank operating line of credit 22,200 (e) ( F) memberships in private clubs for senior executives 3,200 meals and entertainment with clients 12,000 (g) cost of employee training seminar to teach employees about new provincial workplace safety laws 7,200 cost of seasonal holiday party to which all employees were invited 17,700 warranty provision (actual warranty costs: $18,000) 28,000 reserve for decline in value of marketable securities 13,000 accrued bonuses, paid July 30, 2009 30,000