On December 1, 2017, Shamrock, Inc. had the account balances shown below.

		Debits				Credits
Cash		$5,230		Accumulated DepreciationEquipment		$1,490
Accounts Receivable		3,590		Accounts Payable		3,260
Inventory (2,900 x $0.60)		1,740		Common Stock		9,500
Equipment		20,300		Retained Earnings		16,610
		$30,860				$30,860

The following transactions occurred during December.

Dec. 3		Purchased 3,900 units of inventory on account at a cost of $0.68 per unit.
5		Sold 4,300 units of inventory on account for $0.80 per unit. (It sold 2,900 of the $0.60 units and 1,400 of the $0.68.)
7		Granted the December 5 customer $240 credit for 300 units of inventory returned costing $210. These units were returned to inventory.
17		Purchased 2,200 units of inventory for cash at $0.90 each.
22		Sold 2,100 units of inventory on account for $0.93 per unit. (It sold 2,100 of the $0.68 units.)

Adjustment data:

1.		Accrued salaries and wages payable $420.
2.		Depreciation on equipment $210 per month.
3.		Income tax expense was $220, to be paid next year

Journalize the December transactions and adjusting entries, assuming Shamrock, Inc. uses the perpetual inventory method. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.

Enter the December 1 balances in the ledger T-accounts and post the December transactions. (Post entries in the order of journal entries presented above.)

Prepare an adjusted trial balance as of December 31, 2017.

Prepare an income statement for December 2017. Prepare a classified balance sheet at December 31, 2017. (List current assets in order of liquidity.) (a) Compute ending inventory and cost of goods sold under FIFO, assuming Shamrock, Inc. uses the periodic inventory system. (b) Compute ending inventory and cost of goods sold under LIFO, assuming Shamrock, Inc. uses the periodic inventory system.