Well, thanks to jackastor I decided to tie another length to the end of my rope and keep on going... After a couple of false starts (I had to use the Mac terminal to view hidden files on the Kobo, then realized I had to transfer the files of the unzipped folder to the .kobo folder, NOT the contents of the zip file) I got it to update without downloading an update. When I started to set up the reader and it gave me the "downloading updates" message I got a sinking feeling, but then a few seconds later it gave me a "Your e-reader is up to date!" message that I had not seen before. So far I have been able to do a wireless setup, download my existing purchases, connect to Facebook, and navigate through my books without reaching for the reset pin, which is a 180-degree turn from my previous experience.
Thanks so much for your help, jackastor! And thanks to kobokobe as well, because I was going to be taking your advice tomorrow if I didn't get anywhere before then.
Courtney
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