An astronaut (mass $128 \mathrm{~kg}$, with equipment) floats in space, $15.0 \mathrm{~m}$ from his spacecraft and at rest relative to it. (a) In order to get back, he throws a $1.10-\mathrm{kg}$ wrench at $5.40 \mathrm{~m} / \mathrm{s}$ in the direction opposite the spacecraft. How much time does it take him to reach the spacecraft?

Equipment Last month, a baseball coach bought 4 bats and 9 balls for $355. This month, the coach bought 2 bats and a dozen balls for$ 290. The prices didn't change from last month to this month. How much did each bat and ball cost?

Use Cramer's Rule to solve the system of equations.

The following sentence may contain an error in agreement between a subject and a verb. First, circle the simple subject of each sentence. Then, draw a line through each incorrect verb, and above it write the form that agrees with the subject. If a sentence is correct, write C at the end.

None of the equipment were salvaged after the devastating flood.

New Deli is in the process of closing its operations. It sold its three-year-old ovens to Sicily Pizza for $320,500. The ovens originally cost$427,500, had an estimated service life of 10 years, had an estimated residual value of $27,500, and were depreciated using straight-line depreciation. Record the disposal of the equipment.

Grant Corporation's balance sheet at the end of 2019 included the following items.

$$\begin{array}{lrrllrrr} \text{Current assets (Cash \$82,000)}&&\$235,000&\hspace{10pt}&\text{Current liabilities}&&\$150,000\\ \text{Land}&&30,000&\hspace{10pt}&\text{Bonds payable}&&100,000\\ \text{Buildings}&&120,000&\hspace{10pt}&\text{Common stock}&&180,000\\ \text{Equipment}&&90,000&\hspace{10pt}&\text{Retained earnings}&&\underline{\hspace{15pt}\text{44,000}}\\ \text{Accum. depr.-buildings}&&(30,000)&\hspace{10pt}&\text{}&&\underline{\underline{\$\hspace{5pt}\text{474,000}}}\\ \text{Accum. depr-equipment }&&(11,000)&\hspace{10pt}&\text{}&&\\ \text{Patents}&&\underline{\hspace{15pt}\text{40,000}}&\hspace{10pt}&\text{}&&\\ \text{}&&\underline{\underline{\$\hspace{5pt}\text{474,000}}}&\hspace{10pt}&\text{}&&\\\\ \end{array}$$

The following information is available for 2020.

1. Net income was $55,000.

2. Equipment (cost$20,000 and accumulated depreciation $8,000) was sold for$10,000.

3. Depreciation expense was $4,000 on the building and$9,000 on equipment.

4. Patent amortization was $2,500.

5. Current assets other than cash increased by$29,000. Current liabilities increased by $13,000.

6. An addition to the building was completed at a cost of$27,000.

7. A long-term investment in stock was purchased for $16,000.

8. Bonds payable of$50,000 were issued.

9. Cash dividends of $30,000 were declared and paid.

10. Treasury stock was purchased at a cost of$11,000.

Instructions

(Show only totals for current assets and current liabilities.)

a. Prepare a statement of cash flows for 2020.

b. Prepare a balance sheet at December 31, 2020.

Alligood Equipment Corporation sold a precision tool machine with computer controls to Kaui Corporation for $400,000 on January 2 and agreed to take payment nine months later on October 2. Assuming that the prevailing annual interest rate for such a transaction is 16 percent compounded quarterly, what is the actual sale (purchase) price of the machine tool?

List the errors you find in the following balance sheet. Prepare a corrected balance sheet.

$$\begin{array}{cccccc} \begin{array}{c} \text{Labyrinth Services Co.}\\ \text{Balance Sheet}\\ \text{For the Year Ended August 31, 2019}\\ \end{array}\\ \hline \\ \begin{array}{c} \text{Assets}\\ \end{array}\\ \begin{array}{lrr} \text{Current assets:}\\ \quad \text{Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .} & \$ 18,500\\ \quad \text{Accounts payable. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . } & 31,300\\ \quad \text{Supplies.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . } & 6,500\\ \quad \text{Prepaid insurance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .} & 16,600\\ \quad \text{Land.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .} & \underline{225,000}\\ \quad \quad \text{Total current assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .} && \$297,900\\ \text{Property, plant, and equipment:} \\ \quad \text{Building . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .} & \$400,000\\ \quad \text{Equipment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . } & \underline{97,000}\\ \quad \quad \text{Total property, plant, and equipment. . . . . . . . . . . . . . . . .} && \underline{635,400}\\ \text{Total assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .} && \underline{\underline{\$933,300}} \end{array}\\ \\ \begin{array}{c} \text{Liabilities}\\ \end{array}\\ \begin{array}{lrr} \text{Current liabilities:}\\ \quad\text{Accounts receivable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .} & \$\hspace{10pt}41,400\\ \quad\text{Accumulated depreciation—building. . . . . . . . . . . . . . . . . . . . . } &155,000\\ \quad\text{Accumulated depreciation—equipment. . . . . . . . . . . . . . . . . . . } & 25,000\\ \quad\text{Net income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . } & \underline{118,200}\\ \text{Total liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . } && \$339,600 \end{array}\\ \\ \begin{array}{c} \text{Owner’s Equity}\\ \end{array}\\ \begin{array}{lrr} \text{Wages payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .} & \$ \hspace{10pt}6,500\\ \text{Ruben Daniel, capital. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .} & \underline{587,200} \\ \text{Total owner’s equity. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .} && \underline{593,700}\\ \text{Total liabilities and owner’s equity . . . . . . . . . . . . . . . . . . . . . . . . .} && \underline{\underline{\$933,300}} \end{array}\\ \end{array}$$

List the errors you find in the following partial balance sheet:

$$\begin{array}{c} \textbf{Burnt Red Company}\\ \textbf{Balance Sheet}\\ \textbf{December 31, 2014} \end{array}$$

$$\begin{array}{lrrrr} {\textbf{Assets}}\\ \text{Total current assets}&&&\$\text{\hspace{15pt}{350,000}}\\\\ &\textbf{Replacement}&\textbf{Accumulated}&\textbf{Book}\hspace{7pt}\\ &\textbf{Cost}\hspace{20pt}&\textbf{Depreciation}&\textbf{Value}\hspace{5pt}\\ \text{Property, plant, and equipment}&&&\\ \hspace{10pt}\text{Land . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .}&\text{\$\hspace{13pt}250,000}\hspace{10pt}&\text{\$\hspace{5pt}50,000}\hspace{10pt}&\text{\$\hspace{5pt}200,000}\\ \hspace{10pt}\text{Buildings . . . . . . . . . . . . . . . . . . . . . . . . . . . . .}&\text{450,000}\hspace{10pt}&\text{160,000}\hspace{10pt}&\text{290,000}\\ \hspace{10pt}\text{Factory equipment . . . . . . . . . . . . . . . . . . . . . }&\text{375,000}\hspace{10pt}&\text{140,000}\hspace{10pt}&\text{235,000}\\ \hspace{10pt}\text{Office equipment . . . . . . . . . . . . . . . . . . . . . . .}&\text{125,000}\hspace{10pt}&\text{60,000}\hspace{10pt}&\text{65,000}\\ \hspace{10pt}\text{Patents . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .}&\text{90,000}\hspace{10pt}&\text{-}\hspace{10pt}&\text{90,000}\\ \hspace{10pt}\text{Goodwill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .}&\text{\underline{\hspace{23pt}{60,000}}}\hspace{10pt}&\text{\underline{\hspace{15pt}{10,000}}}\hspace{10pt}&\text{\underline{\hspace{15pt}{50,000}}}\\ \hspace{20pt}\text{Total property, plant, and equipment . . . . . }&\underline{\underline{\$\hspace{10pt}\text{1,350,000}}}\hspace{10pt}&\underline{\underline{\$\hspace{5pt}\text{420,000}}}\hspace{10pt}&\underline{\underline{\$\hspace{5pt}\text{930,000}}}\\ \end{array}$$

All 28 members in Crestview High School's Ski Club went on a one-day ski trip. Members can rent skis for $16.00 per day or snowboards for$19.00 per day. The club paid a total of $478 for rental equipment.

How many members rented skis and how many rented snowboards?

On January 1, 2020, Weber, Inc., entered into two lease contracts. The first lease contract was a six-year lease for computer equipment with $15,000 annual lease payments due at the end of each year. Weber took possession of the equipment on January 1, 2020. The second lease contract was a six-month lease, beginning January I, 2020, for warehouse storage space with$ 1,000 monthly lease payments due the first of each month. Weber made the first month's payment on January 1, 2020. The present value of the lease payments under the first contract is $74,520. The present value of the lease payments under the second contract is$5,853.

Assume the second lease contract is an operating lease. Prepare the proper journal entry for this lease on January 1, 2020.

Bronson Paper Products purchased 10,000 acres of forested timberland in March 2012. The company paid $1,700 per acre for this land, which was above the$800 per acre most farmers were paying for cleared land. During April, May, June, and July 2012, Bronson cut enough timber to build roads using moveable equipment purchased on April 1, 2012. The cost of the roads was $250,000, and the cost of the equipment was$225,000; this equipment was expected to have a $9,000 salvage value and would be used for the next 15 years. Bronson selected the straight-line method of depreciation for the moveable equipment. Bronson began actively harvesting timber in August and by December had harvested and sold 540,000 board feet of timber of the estimated 6,750,000 board feet available for cutting.

In March 2013, Bronson planted new seedlings in the area harvested during the winter. Cost of planting these seedlings was$120,000. In addition, Bronson spent $8,000 in road maintenance and$6,000 for pest spraying during calendar-year 2013. The road maintenance and spraying are annual costs. During 2013, Bronson harvested and sold 774,000 board feet of timber of the estimated 6,450,000 board feet available for cutting. In March 2014, Bronson again planted new seedlings at a cost of $150,000, and also spent$15,000 on road maintenance and pest spraying. During 2014, the company harvested and sold 650,000 board feet of timber of the estimated 6,500,000 board feet available for cutting.

Required

Compute the amount of depreciation and depletion expense for each of the 3 years (2012,2013,2014). Assume that the roads are usable only for logging and therefore are included in the depletion base.

Cecil’s Manufacturing is considering producing a new product. The sales price would be $10.25 per unit. The cost of the equipment is$100,000. Operating and maintenance (O&M) costs are expected to be $3,500 annually. Based on a 7-year planning horizon and a MARR of 12 percent, determine the number of units that must be sold annually to achieve breakeven.

Suppose firm become optimistic about future business conditions and invest heavily in new capital equipment.

Draw an aggregate-demand/aggregate-supply diagram to show the short-run effect of this optimism on the economy. Label the new levels of prices and real output. Explain in words why the aggregate quantity of output supplied changes.

A hardware store sells bags of rock salt that are labeled as weighing 35 pounds. The equipment used to package the salt produces bags with a weight that is within 8 ounces of the label weight. Write and solve an absolute value equation to determine the maximum and minimum weights for the bag of rock salt. Justify each step in the solution.