Test your understanding of the financial statements by answering the following questions. Select the best choice from among the possible answers given.

All of the following are current assets except a. prepaid expenses. b. accounts payable. c. inventory. d. accounts receivable.

The adjusted trial balance for Tybalt Construction as of December 31, 2017, follows.

$$\begin{array}{c} \textbf{TYBALT CONSTRUCTION CO.}\\ \textbf{Adjusted Trial Balance}\\ \textbf{December 31, 2017} \end{array}$$

O. Tybalt invested $5,000 cash in the business during year 2017 (the December 31, 2016, credit balance of the O. Tybalt, Capital account was$121,400). Tybalt Construction is required to make a $7,000 payment on its long-term notes payable during 2018.

Required
1. Prepare the income statement and the statement of owner's equity for the calendar year 2017 and the classified balance sheet at December 31, 2017.
2. Prepare the necessary closing entries at December 31, 2017.
3. Use the information in the financial statements to compute these ratios: (a) return on assets (total assets at December 31, 2016, was$200,000), (b) debt ratio, (c) profit margin ratio (use total revenues as the denominator), and (d) current ratio. Round ratios to three decimals for parts a and c, and to two decimals for parts b and d.

Hopper and Seeman (1994) studied the relationship between bone density and smoking among 41 pairs of middle-aged female twins. In each pair, one twin was a lighter smoker and one a heavier smoker, as measured by pack-years, the number of packages of cigarettes consumed in a year. Bone mineral density was measured at the lumbar spine, the femoral (hip) neck, and the femoral shaft. As well as smoking, other variables, such as alcohol consumption and tea and coffee consumption, were recorded. The data are contained in the file bonden and documentation is in the file bonedendoc. Use graphical methods to compare bone densities of the heavy and light smoking twins. Do any of the other variables bear a relationship to bone density? After completing your analysis, you may wish to compare your conclusions to those in the paper.

(Count clients) Write a server that tracks the number of the clients connected to the server. When a new connection is established, the count is incremented by 1. The count is stored using a random-access file. Write a client program that receives the count from the server and displays a message, such as “You are visitor number 11”. Name the client Exercise33_04Client and the server Exercise33_04Server.

The following three separate situations require adjusting journal entries to prepare financial statements as of April 30. For each situation, present both:

• The April 30 adjusting entry.

• The subsequent entry during May to record payment of the accrued expenses.

Entries can draw from the following partial chart of accounts: Cash; Accounts Receivable; Salaries Payable; Interest Payable; Legal Services Payable; Unearned Revenue; Revenue; Salaries Expense; Interest Expense; Legal Services Expense; and Depreciation Expense.

c. Total weekly salaries expense for all employees is $10,000. This amount is paid at the end of the day on Friday of each five-day workweek. April 30 falls on a Tuesday, which means that the employees had worked two days since the last payday. The next payday is May 3.

The adjusted trial balance for Anara Co. as of December 31, 2017, follows.

$$\begin{array}{c} \textbf{ANARA COMPANY}\\ \textbf{Adjusted Trial Balance}\\ \textbf{December 31, 2017} \end{array}$$

P. Anara invested $40,000 cash in the business during year 2017 (the December 31, 2016, credit balance of the P. Anara, Capital account was$52,800). Anara Company is required to make a $8,400 payment on its long-term notes payable during 2018.

Required
1. Prepare the income statement and the statement of owner's equity for the calendar year 2017 and the classified balance sheet at December 31, 2017.
2. Prepare the necessary closing entries at December 31, 2017.
3. Use the information in the financial statements to compute these ratios: (a) return on assets (total assets at December 31, 2016, was$160,000), (b) debt ratio, (c) profit margin ratio (use total revenues as the denominator), and (d) current ratio. Round ratios to three decimals for parts a and c, and to two decimals for parts b and d.

On October 1, Eder Fabrication borrowed $60 million and issued a nine-month, 12% promissory note. Interest was payable at maturity. Prepare the journal entry for the issuance of the note and the appropriate adjusting entry for the note at December 31, the end of the reporting period.

Employment in Older Workers. Older people often have a hard time finding work. AARP reported on the number of weeks it takes a worker aged 55 plus to find a job. The data on number of weeks spent searching for a job contained in the file JobSearch are consistent with the AARP findings.

b. At $95 \%$ confidence, what is the margin of error?

1. Search the Java Web site for information on how to use a JTextArea. Write an application for the WebBuy Company that allows a user to compose the three parts of a complete e-mail message: the “To:”, “Subject:”, and “Message:” text. The “To:” and “Subject:” text areas should provide a single line for data entry. The “Message:” area should allow multiple lines of input and be able to scroll if necessary to accommodate a long message. The user clicks a button to send the e-mail message. When the message is complete and the Send button is clicked, the application should display “Mail has been sent!” on a new line in the message area. Save the file as JEMail.java.

2. Modify the JEMail application to include a Clear button that the user can click at any time to clear the “To:”, “Subject:”, and “Message:” fields. Save the file as JEMail2.java.

Unlike the idealized diagram a typical tip used for a scanning tunneling microscope is rather jagged on the atomic scale, with several irregularly spaced points. For such a tip, does most of the tunneling current occur between the sample and
(a) all the points of the tip equally,
(b) the most centrally located point,
(c) the point closest to the sample, or
(d) the point farthest from the sample?

The file sizes, in megabytes, of 30 songs on an MP3 player are shown below. If you make a histogram using intervals of 50-59, 60-69, 70-79, 80-89, and 90-99, which interval has the greatest bar?

50,99,98,58,61,70,86,51,65,73,81,97,50,66,76,83,55,67,78,90,54,52,63,73,77,92,76,55,60,66

A 50-59

B 60-69

C 70-79

D 80-89

The adjusted trial balance for Tybalt Construction as of December 31, 2015, follows.

$$\begin{array}{c} \textbf{TYBALT CONSTRUCTION}\\ \text{Adjusted Trial Balance}\\ \text{December 31, 2015}\\ \end{array}$$

O. Tybalt invested $\$ 5,000$ cash in the business during year 2015 (the December 31,2014 , credit balance of the O. Tybalt, Capital account was $\$ 121,400$ ). Tybalt Construction is required to make a $\$ 7,000$ payment on its long-term notes payable during 2016.

1. Prepare the income statement and the statement of owner's equity for the calendar year 2015 and the classified balance sheet at December 31, 2015.
2. Prepare the necessary closing entries at December 31, 2015.
3. Use the information in the financial statements to compute these ratios: (a) return on assets (total assets at December 31, 2014, was $\$ 200,000$ ), (b) debt ratio, (c) profit margin ratio (use total revenues as the denominator), and $(d)$ current ratio. Round ratios to three decimals for parts $a$ and $c$, and to two decimals for parts $b$ and $d$.

The file Mobilespeed contains the overall download and upload speeds in mbps for nine carriers in the U.S.

a. Compute the covariance between download speed and upload speed.

b. Compute the coefficient of correlation between download speed and upload speed.

c. Based on (a) and (b), what conclusions can you reach about the relationship between download speed and upload speed?

The unadjusted trial balance of the Manufacturing Equitable at December 31, 2016, the end of its fiscal year, included the following account balances. Manufacturing’s 2016 financial statements were issued on April 1, 2017. Accounts receivable $92,500 Accounts payable 35,000 Bank notes payable 600,000 Mortgage note payable 1,200,000. Other information: a. The bank notes, issued August 1, 2016, are due on July 31, 2017, and pay interest at a rate of 10%, payable at maturity. b. The mortgage note is due on March 1, 2017. Interest at 9% has been paid up to December 31 (assume 9% is a realistic rate). Manufacturing intended at December 31, 2016, to refinance the note on its due date with a new 10-year mortgage note. In fact, on March 1, Manufacturing paid$250,000 in cash on the principal balance and refinanced the remaining $950,000. c. Included in the accounts receivable balance at December 31, 2016, were two subsidiary accounts that had been overpaid and had credit balances totaling$18,000. The accounts were of two major customers who were expected to order more merchandise from Manufacturing and apply the overpayments to those future purchases. d. On November 1, 2016, Manufacturing rented a portion of its factory to a tenant for $30,000 per year, payable in advance. The payment for the 12 months ended October 31, 2017, was received as required and was credited to rent revenue. Required: 1. Prepare any necessary adjusting journal entries at December 31, 2016, pertaining to each item of other information (a–d). 2. Prepare the current and long-term liability sections of the December 31, 2016, balance sheet.