Performance Bike Co. is a wholesaler of motorcycle supplies. An aging of the company's accounts receivable on December 31 and a historical analysis of the percentage of uncollectible accounts in each age category are as follows:

$$\begin{array}{lrc} \text { Age Interval } & \text { Balance } & \begin{array}{c} \text { Percent } \\ \text { Uncollectlble } \end{array} \\ \hline \text { Not past due } & \$ 3,250,000 & 0.8 \% \\ 1-30 \text { days past due } & 1,050,000 & 2.4 \\ 31-60 \text { days past due } & 780,000 & 7.0 \\ 61-90 \text { days past due } & 320,000 & 18.0 \\ 91-180 \text { days past due } & 240,000 & 34.0 \\ \text { Over } 180 \text { days past due } & \underline{\hspace{15pt}150,000} & 85.0\\ &\underline{\underline{\$5,790,000}} \end{array}$$

Assume that the allowance for doubtful accounts for Performance Bike Co. had a debit balance of $28,400 as of December 31.

Journalize the adjusting entry for uncollectible accounts as of December 31.

During its first year of operations, Mack’s Plumbing Supply Co. had sales of $3,250,000, wrote off$27,800 of accounts as uncollectible using the direct write-off method, and reported net income of $487,500. The allowance method had been used and the company estimated that 1% of sales would be uncollectible.

Assume that during the second year of operations, Mack’s Plumbing Supply Co. had sales of$4,100,000, wrote off $34,000 of accounts as uncollectible using the direct write-off method, and reported net income of$600,000.

a. Determine what net income would have been in the second year if the allowance method (using 1% of sales) had been used in both the first and second years. b. Determine what the balance of the allowance for doubtful accounts would have been at the end of the second year if the allowance method had been used in both the first and second years. Hint: Use an Allowance for Doubtful Accounts T account.

For the cycle of Problem, investigate the effects on cycle performance as the higher extraction pressure takes on other values. The operating conditions for the open feedwater heater are unchanged from those in earlier problem. Assume that condensate drains from the closed feedwater heater as saturated liquid at the higher extraction pressure. Also feedwater leaves the heater at $12\ \mathrm{MPa}$ and a temperature equal to the saturation temperature at the extraction pressure. Construct suitable plots and discuss.

Alvarez Manufacturing Inc. is a job shop. The management of Alvarez Manufacturing Inc. uses the cost information from the job sheets to assess cost performance. Information on the total cost, product type, and quantity of items produced is as follows:

$$\begin{array}{lclcr} \text { Date } & \text { Job No. } & \text { Product } & \text { Quantity } & \text { Amount } \\ \hline \text { Jan. 2 } & 1 & \text { TT } & 520 & \$ 16,120 \\ \text { Jan. 15 } & 22 & \text { SS } & 1,610 & 20,125 \\ \text { Feb. 3 } & 30 & \text { SS } & 1,420 & 25,560 \\ \text { Mar. 7 } & 41 & \text { TT } & 670 & 15,075 \\ \text { Mar. 24 } & 49 & \text { SLK } & 2,210 & 22,100 \\ \text { May 19 } & 58 & \text { SLK } & 2,550 & 31,875 \\ \text { June 12 } & 65 & \text { TT } & 620 & 10,540 \\ \text { Aug. 18 } & 78 & \text { SLK } & 3,110 & 48,205 \\ \text { Sept. 2 } & 82 & \text { SS } & 1,210 & 16,940 \\ \text { Nov. 14 } & 92 & \text { TT } & 750 & 8,250 \\ \text { Dec. 12 } & 98 & \text { SLK } & 2,700 & 52,650 \end{array}$$

a. Develop a graph for each product (three graphs) with Job Number (in date order) on the horizontal axis and Unit Cost on the vertical axis. Use this information to determine Alvarez Manufacturing Inc.’s cost performance over time for the three products.

b. What additional information would you require in order to investigate Alvarez Manufacturing Inc.’s cost performance more precisely?

Explain why the following technique for transaction execution may provide better performance than just using strict two-phase locking: First execute the transaction without acquiring any locks and without performing any writes to the database as in the validation-based techniques, but unlike the validation techniques do not perform either validation or writes on the database. Instead, rerun the transaction using strict two-phase locking. (Hint: Consider waits for disk I/O.)

An engineer living at an elevation of $2500 \mathrm{ft}$ is conducting experiments to verify predictions of glider performance. To process data, the density of ambient air is needed. The engineer measures temperature $\left(74.3^{\circ} \mathrm{F}\right)$ and atmospheric pressure $(27.3$ inches of mercury). Compute density in units of $\mathrm{kg} / \mathrm{m}^3$. Compare the calculated value with data from the mentioned table and make a recommendation about the effects of elevation on density; that is, are the effects of elevation significant?

Plant acquisitions for selected companies are presented below. **1.** Natchez Industries Inc. acquired land, buildings, and equipment from a bankrupt company, Vivace Co., for a lump-sum price of $680,000. At the time of purchase, Vivace’s assets had the following book and appraisal values. $$ \begin{array}{lrr} & \textbf{Book Values} & \textbf{Appraisal Values}\\ \\ \text{Land} & \$200,000 & \$150,000\\ \text{Buildings} & 230,000 & 350,000\\ \text{Equipment} & 300,000 & 300,000\\ \end{array} $$ To be conservative, the company decided to take the lower of the two values for each asset acquired. The following entry was made. |Land|150,000|| |--|--:|--:| |Buildings| 230,000|| |Equipment| 300,000|| |$\quad$Cash||680,000| **2.** Arawak Enterprises purchased store equipment by making a $2,000 cash down payment and signing a 1-year,$23,000, 10% note payable. The purchase was recorded as follows. |Equipment|27,300|| |--|--:|--:| |$\quad$Cash||2,000| |$\quad$Notes Payable||23,000| |$\quad$Interest Payable||2,300| **3.** Ace Company purchased office equipment for $20,000, terms 2/10, n/30. Because the company intended to take the discount, it made no entry until it paid for the acquisition. The entry was: |Equipment|20,000|| |--|--:|--:| |$    $Cash||19,600| |$    $Purchase Discounts||400| **4.** Paunee Inc. recently received at zero cost land from the Village of Cardassia as an inducement to locate its business in the Village. The appraised value of the land is$27,000. The company made no entry to record the land because it had no cost basis. **5.** Mohegan Company built a warehouse for $600,000. It could have purchased the building for$740,000. The controller made the following entry. |Buildings|740,000|| |--|--:|--:| |$\quad$Cash||600,000| |$\quad$Profit on Construction||140,000| **Instructions** Prepare the entry that should have been made at the date of each acquisition.

The following selected accounts appear in Shaw Company's unadjusted trial balance at December 31, 2018, the end of its fiscal year (all accounts have normal balances).

$$\begin{array}{lrlr} \text{ Prepaid advertising }& \$ 1,200 &\text{ Performance obligations }& \$ 5,400 \\ \text{ Wages expense }& 43,800 &\text{ Service fees revenue }& 87,000 \\ \text{ Prepaid insurance }& 3,420 &\text{ Rental income }& 4,900 \\ \end{array}$$

Prepare its adjusting entries at December 3 I. 2018. (1) using the financial statement effects template. and (2) in journal entry form using the following additional information.

1. Prepaid advertising at December 31 is $800.
2. Unpaid and unrecorded wages earned by employees in December are$1,300.
3. Prepaid insurance at December 31 is $2,280.
4. Perfomance obligations represent service fees collected in advance of when the services are provided to customers. Performance obligations at December 31 are$3,000.
5. Rent revenue of$ 1,000 owed by a tenant is not recorded at December 31 .

A Carnot vapor refrigeration cycle employs Refrigerant $134 a$ as the working fluid. The refrigerant enters the condenser as saturated vapor at $28^{\circ} \mathrm{C}$ and leaves it as a saturated liquid. The evaporator operates at a temperature of $-10^{\circ} \mathrm{C}$. Find, in $\mathrm{kJ}$ per $\mathrm{kg}$ of refrigerant flow,

(a) the work input to the compressor.

(b) the work developed by the turbine.

(c) the heat transfer to the refrigerant passing via the evaporator. What is the coefficient of performance of the cycle?

The adjusted trial balance of Estella Real Estate Appraisal at June 30, 2016, follows:

$$\begin{array}{c} \textbf{ESTELLA REAL ESTATE APPRAISAL}\\ \text{Adjusted Trial Balance}\\ \text{June 30, 2016}\\ \end{array}$$

$$\begin{array}{lrr} &\textbf{Balance}\\ \textbf{Account Title}&\textbf{Debit}&\textbf{Credit}\\ \text{Cash}&\$4,600\\ \text{Accounts Receivable}&5,300\\ \text{Office Supplies}&1,500\\ \text{Prepaid Insurance}&1,600\\ \text{Building}&77,000\\ \text{Accumulated Depreciation - Building}&&\$26,000\\ \text{Land}&13,500\\ \text{Accounts Payable}&&19,300\\ \text{Interest Payable}&&8,400\\ \text{Salaries Payable}&&1,900\\ \text{Unearned Revenue}&&5,300\\ \text{Notes Payable (long-term)}&&37,000\\ \text{Common Stock}&&3,000\\ \text{Retained Earnings}&&37,000\\ \text{Dividends}&27,200\\ \text{Service Revenue}&&48,900\\ \text{Insurance Expense}&4,300\\ \text{Salaries Expense}&33,000\\ \text{Supplies Expense}&200\\ \text{Interest Expense}&8,400\\ \text{Utilities Expense}&2,500\\ \text{Depreciation Expense - Building}&7,700\\ \text{Total}&\underline{\underline{\$186,800}}&\underline{\underline{\$186,800}}\\ \end{array}$$

Requirements

1. Prepare the company's income statement for the year ended June 30, 2016.
2. Prepare the company's statement of retained earnings for the year ended June 30, 2016.
3. Prepare the company's classified balance sheet in report form at June 30, 2016.
4. Journalize the closing entries.
5. Open the T-accounts using the balances from the adjusted trial balance, and post the closing entries to the T-accounts.
6. Prepare the company's post-closing trial balance at June 30, 2016.

Of the 281 players with at least 300 plate appearances in the 2008 Major League Baseball season, Jeff Mathis of the Los Angeles Angels had the lowest batting average ( $0.194)$ and Brad Wilkerson of the Toronto Blue Jays scored the fewest runs (21). Overall, the mean batting average was $0.272$, with a standard deviation of $0.027$, and the mean number of runs scored was $65.0$, with a standard deviation of 23.6. Which PERFORMANCE was worse? Explain, using the methods of this chapter.

One yardstick for measuring how steadily-if slowly-athletic performance has improved is the mile run. In 1954, Roger Bannister of Britain cracked the 4-minute mark, setting the record for running a mile in 3 minutes, 59.4 seconds, or 239.4 seconds. In the half-century since then, the record has decreased by 0.3 second per year. If this trend continues, in which year will someone run a 3-minute, or 180-second, mile?

Because a new employee must learn an assigned task, production will increase with time. Suppose that for the average new employee, the rate of performance is given by

$$\frac{d N}{d t}=\frac{1}{2 \sqrt{t+1}}$$

where $N$ is the number of units completed $t$ hours after beginning a new task. If $2$ units are completed after $3$ hours, how many units are completed after $8$ hours?

Katie and Kim are attending a theater performance. Katie's seat is at floor level. She looks down at an angle of 18$^{\circ}$ to see the orchestra pit. Kim's seat is in the balcony directly above Katie. Kim looks down at an angle of 42$^{\circ}$ to see the pit. The horizontal distance from Katie's seat to the pit is 46ft. What is the vertical distance between Katie's seat and Kim's seat? Round to the nearest inch.