Based on audit  testing, the audit team concluded that the total projected misstatements are as follows:

Sales: $235,506

Cash: $258,046

Land: $173,338

The cash misstatement amount is based on the result of a cash confirmation from a bank that was $258,046 less than the reported client balance.

The misstatement in the Land account resulted from Argo's failure to remove the land from its books after donating it to charity.

The Summary of Discovered Misstatements table below shows three sales transactions that contain misstatements:

Summary of Discovered Misstatements (Sales Account)
Selection Number	Reported Sale Amount	Audited Sale Amount	Misstatement	Notes
5	$86,178.46	$68,178.46	$18,000	Transposition error
17	$217,934.70	$0	$217,934.70	Recorded in wrong accounting period
21	$135,476.94	$135,905.64	$(428.70)	Incorrect amount recorded
		Total Misstatement	$235,506.00

Assume the audit engagement team determined performance materiality to be $240,864 for each account above (note that this amount will likely not agree with the amounts you determined above).

Evaluate each misstatement listed above at the financial statement account level to determine whether or not each would be considered material. Explain your rationale for each misstatement.