Recall the table discussed before that gives the price of a gallon of regular gasoline in the United States (in dollars) for the years $2003$ through $2011$. Another table discussed gives the price of a gallon of regular gasoline in the United States (in dollars) for the years $1990$ through $2002$.

By using $1990$ as the base year, construct a simple index for the prices of a gallon of regular gasoline in both tables.

Modern vacuum pumps make it easy to attain pressures of the order of $10^{-13}$ atm in the laboratory. Consider a volume of air and treat the air as an ideal gas. (a) At a pressure of $9.00 \times 10^{-14}$ atm and an ordinary temperature of 300.0 K, how many molecules are present in a volume of $1.00 \mathrm{cm}^{3}$? (b) How many molecules would be present at the same temperature but at 1.00 atm instead?

The Modern Language Association plans a three-day meeting. The program committee requests 15 overhead projectors for the first day, 28 for the second day, and 19 for the third day. Projectors may be rented for a single day for $17, and they may be rented for two consecutive days for$30. How many should be rented for a single day and how many should be rented for two consecutive days to minimize rental costs?

Silicon is the second most abundant element in the Earth's crust, and its compounds can be as ordinary as beach sand. However, silicon also plays an indispensable role in modern devices such as computers, cell phones, semiconductors, and solar panels. A recent technology incorporates silicon in nanometer-sized particles called quantum dots that act as luminescent labels for pancreatic cancer cells. Identify the electron configuration of a silicon atom.

In many of the world’s poorest countries, nearly 50 percent of the population is under 15 years of age. If these people are to help improve the productivity of their economies, they must be trained in modern methods of production. In 2000, just over 4 million of the 8.8 million people of Chad were under 15. Explain why it would be difficult for many of these children to be educated and become productive members of a growing economy.

Critic's Corner The editors of the Folger Library edition of Julus Caesor point out that Elizabethans "did not have our modern distaste for dictators, ... and they admired forceful and successful leaders like Caesar." Do you see evidence of this admiration in Act One of the play? Would you say that Shakespeare himself admires Julius Caesar? Cite details from Act One to support your opinions.

The following are nine technical accounting terms introduced or emphasized in this chapter:

$$\begin{array}{lll}\text { Responsibility margin } & \text { Transfer price } & \text { Common fixed costs } \\ \text { Contribution margin } & \text { Cost-plus transfer price } & \text { Traceable fixed costs } \\ \text { Performance margin } & \text { Product costs } & \text { Committed fixed costs }\end{array}$$

Each of the following statements may (or may not) describe one of these technical terms. For each statement, indicate the accounting term described, or answer "None" if the statement does not correctly describe any of the terms.

c. Fixed costs that are readily controllable by the manager.

How do you think a mobilization effort such as the one that occurred in the early 1940s would affect the United States today? Explain your answer.

Are the marks one receives in a course related to the amount of time spent studying the subject? To investigate this mysterious possibility, a student took a random sample of 10 students who had enrolled in an accounting class last semester. He asked each to report his or her mark in the course and the total number of hours spent studying accounting. These data are listed here: Study

$$\begin{array}{rllllllllll}\text { time } & 40 & 42 & 37 & 47 & 25 & 44 & 41 & 48 & 35 & 28 \\ \text { Marks } & 77 & 63 & 79 & 86 & 51 & 78 & 83 & 90 & 65 & 47\end{array}$$

Calculate the covariance.

Use the conditional "If you live in the United States, then you live in Kentucky". Write the indicated type of statement and determine its truth value. Inverse

The first bridge over the Piscataqua River, built in $1794$, was the longest bridge in the world. The modern bridge, completed in $1971$, is not the world's longest, but it is well known for its elegant symmetric design. The bridge connects Kittery, Maine with Portsmouth, New Hampshire.

Does the Piscataqua River Bridge have any lines of symmetry? If so, make a simple sketch of the bridge and draw all of its lines of symmetry.

Daniel Perkins is the sole shareholder of Perkins Inc., which is currently under protection of the U.S. bankruptcy court. As a "debtor in possession," he has negotiated the following revised loan agreement with United Bank. Perkins Inc.'s $600,000, 12%, 10-year note was refinanced with a$600,000, 5%, 10-year note.

Instructions

a. What is the accounting nature of this transaction?

b. Prepare the journal entry to record this refinancing.

1. On the books of Perkins Inc.
2. On the books of United Bank.

c. Discuss whether generally accepted accounting principles provide the proper information useful to managers and investors in this situation.

The Lyric Opera of Chicago is one of the largest and best-managed opera companies in the United States. Managing opera productions requires advance planning, including the development of scenery, costumes, and stage properties and the sale of tickets. To measure how well the company is operating in any given year, management must apply accrual accounting to these and other transactions. At year-end, April 30, 2011, Lyric Opera’s balance sheet showed deferred production costs and other assets of $1,978,322 and deferred ticket and other revenue of$12,710,639. What accounting policies and adjusting entries are applicable to these accounts? Why are they important to Lyric Opera’s management?

In 1968, before pollution controls were introduced, over 75 billion gallons of gasoline were used in the United States as a motor fuel. Assume an emission of oxides of nitrogen of 5 grams per vehicle mile and an average mileage of 15 miles per gallon of gasoline. How many kilograms of nitrogen oxides were released into the atmosphere in the United States in 1968?