College Coasters is a San Diego-based merchandiser specializing in logo-adorned drink coasters. The company reported the following balances in its unadjusted trial balance at December 1. Cash Accounts Receivable $8,500 1,800 Inventory 450 Prepaid Rent 540 Equipment 730 Accumulated Depreciation 110 Accounts Payable 1,260 Salaries and Nages Payable 300 Income Taxes Payable 0 Common Stock 6,200 Retained Earnings 3,000 Sales Revenue 13,680 Cost of Goods Sold 8,630 Rent Expense 990 Salaries and Wages Expense 1,600 Depreciation Expense 110 Income Tax Expense Office Expense 1,200 The company buys coasters from one supplier. All amounts in Accounts Payable on December 1 are owed to that supplier. The inventory on December 1 consisted of 900 coasters, all of which were purchased in a batch on July 10 at a unit cost of $0.50. College Coasters records its inventory using perpetual inventory accounts and the FIFO cost flow method. During December, the company entered into the following transactions. Some of these transactions are explained in greater detail below. a. Purchased 500 coasters on account from the regular supplier on 12/1 at a unit cost of $0.52, with terms of n/60. b. Purchased 900 coasters on account from the regular supplier on 12/2 at a unit cost of $0.55, with terms of n/60. c. Sold 1,700 coasters on account on 12/3 at a unit price of $1.10. d. Collected $940 from customers on account on 12/4. e. Paid the supplier $1,280 cash on account on 12/18. Paid employees $490 on 12/23, of which $250 related to work done in November and $240 was for wages up to December 22. g. Loaded 90 coasters on a cargo ship on 12/31 to be delivered the following week to a customer in Kona, Hawail. The sale was made FOB destination with terms of n/60.