Recommend that the company do nothing at this point. The term "soon" is subject to interpretation, and the expense of withdrawing an expensive ad campaign and changing packaging is not warranted. Recommend that the company suspend the ad campaign and revise the packaging on new product in the factory, but do not withdraw the product from distributors to change the existing packaging. Recommend that the company suspend the ad campaign, issue a press release acknowledging its error, and withdraw existing product from distributors to change the packaging to eliminate the reference that it decomposes into natural elements soon after disposal. Recommend that the company order tests from an independent testing lab or obtain other evidence to determine the validity of Luke's claims before making a decision about the ad campaign and packaging.

He moto hotel opened for business on may 1, 2017. here is its trial balance before adjustment on may 31. moto hotel trial balance may 31, 2017 debit credit cash $ 2,283 supplies 2,600 prepaid insurance 1,800 land 14,783 buildings 72,400 equipment 16,800 accounts payable $ 4,483 unearned rent revenue 3,300 mortgage payable 38,400 common stock 59,783 rent revenue 9,000 salaries and wages expense 3,000 utilities expense 800 advertising expense 500 $114,966 $114,966 other data: 1. insurance expires at the rate of $360 per month. 2. a count of supplies shows $1,050 of unused supplies on may 31. 3. (a) annual depreciation is $2,760 on the building. (b) annual depreciation is $2,160 on equipment. 4. the mortgage interest rate is 5%. (the mortgage was taken out on may 1.) 5. unearned rent of $2,580 has been earned. 6. salaries of $810 are accrued and unpaid at may 31