The statement from Bank of America on December 31 showed a balance of $26,130 and the

cash balance per books is $26,100 . A comparison of the bank statement with the Cash account revealed the following facts.

1. The bank collected a note receivable of $2,200 for North Company on December 15. 2. The December 31 receipts were deposited in a night deposit of $2,700 on December 31. These deposits were recorded by the bank in January. 3. Checks outstanding on December 31 totaled $1,210. 4. On December 31, the bank statement showed an NSF charge of $680 for a check received by the company from Zain, a customer, on account.

The following transactions occurred during December.

	Purchase Units	Unit Cost	Sold Units
Beg. Inventory	3,000	$0.60
Dec. 3	4,000	$0.74
Dec. 5			4,400
Dec. 17	2,200	$0.80
Dec. 22			2,100

a) Prepare journal entries for each transactions and the adjusting entries .

b) Preparedoubledeclining-balancescheduleusing20%ratefordepreciatethecar.

c) Prepare a bank reconciliation as of December 31, 2017.

d) Computeendinginventoryandcostofgoodssoldusingmoving-averagecost,assumingtheCompany

uses the perpetual inventory system.