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 $ 9,800 Accounts Receivable Inventory 1,820 400 Prepaid Rent 540 Equipment 790 Accumulated Depreciation 90 Accounts Payable 1,340 Salaries and Wages Payable 300 Income Taxes Payable 0 Common Stock 5,300 Retained Earnings 2,500 Sales Revenue 16,830 Cost of Goods Sold: 8,630 Rent Expense 990 Salaries and Wages Expense Depreciation Expense 2,000 90 Income Tax Expense Office Expense 1,300 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 1,000 coasters, all of which were purchased in a batch on July 10 at a unit cost of $0.40. 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 $0.42, with terms of n/60. b. Purchased 1,000 coasters on account from the regular supplier on 12/2 at a unit cost of $0.45, with terms of n/60. c. Sold 1,700 coasters on account on 12/3 at a unit price of $1.00. d. Collected $850 from customers on account on 12/4. e. Paid the supplier $1,570 cash on account on 12/18. f Paid employees $500 on 12/23, of which $260 related to work done in November and $240 was for wages up to December 22. g. Loaded 100 coasters on a cargo ship on 12/31 to be delivered the following week to a customer in Kona, Hawaii. The sale was made FOB destination with terms of n/60.