The fieldwork for the December 31, 2016 audit of Schmidt Corporation ended on March 17, 2017. The financial statements and auditor's report were mailed March 29, 2017. In each of the situations below, indicate the appropriate action (a, b, c, d, e, f). The possible actions are as follows

a. Request the client to adjust the December 31, 2016 financial statements.

b. Disclose the information in a footnote in the December 31, 2016 financial statements.

c. Request the client recall, revise (with adjustment or footnote disclosure) and reissue the December 31, 2016 financial statements.

d. Request the client to adjust the December 31, 2016 financial statement. Change the audit report date and extend subsequent event testing to the new date.

e. Request the client to recall, revise and reissue the December 31, 2016 financial statement. Change the audit report to a dual dating report.

f. No action is required. The situations are as follows :

________ 1. On April 10, 2017, you discovered that a debtor of Schmidt Corporation went bankrupt on March 18, due to persistent financial health deterioration in recent years.

________ 2. On January 15, 2017, Welder Supply Co., a major customer of Schmidt Corporation declared bankruptcy due to a sudden drop in the market demand of Welder Supply’s products. You didn’t find out about the bankruptcy until March 25, 2017.

________ 3. On March 15, 2017, you noticed that securities held for temporary investment by Schmidt Corporation experienced a significant decrease in market value the day before. ________ 4. On March 20, 2017, another security held for temporary investment by Schmidt Corporation also experienced a significant decrease in market value. You learned of the change in market value the same day.

________ 5. On December 30, 2016, a flood destroyed half of the uninsured inventory in Schmidt's warehouses. You discovered the event on January 10.

The plant asset and accumulated depreciation accounts of Pell Corporation had the following balances at December 31, 2015:

a. On January 2, 2016, machinery and equipment were purchased at a total invoice cost of $275,000, which included a $5,800 charge for freight. Installation costs of $30,000 were incurred.

b. On March 31, 2016, a machine purchased for $61,000 in 2012 was sold for $38,000. Depreciation recorded through the date of sale totaled $25,925.

c. On May 1, 2016, expenditures of $53,000 were made to repave parking lots at Pell's plant location. The work was necessitated by damage caused by severe winter weather.

d. On November 1, 2016, Pell acquired a tract of land with an existing building in exchange for 10,000 shares of Pell's common stock that had a market price of $41 per share. Pell paid legal fees and title insurance totaling $24,500. Shortly after acquisition, the building was razed at a cost of $38,000 in anticipation of new building construction in 2017.

e. On December 31, 2016, Pell purchased a new automobile for $16,000 cash and trade-in of an old automobile purchased for $19,500 in 2012. Depreciation on the old automobile recorded through December 31, 2016, totaled $14,625. The fair value of the old automobile was $3,900.

Required: For each asset classification, prepare a schedule showing depreciation for the year ended December 31, 2016, using the following depreciation methods and useful lives:

Land improvements—Straight line; 15 years.

Building—150% declining balance; 20 years.

Machinery and equipment—Straight line; 10 years.

Automobiles—150% declining balance; 3 years.

Depreciation is computed to the nearest month and no residual values are used. (Do not round intermediate calculations.)

Hartford Research issues bonds dated January 1, 2016, that pay interest semiannually on June 30 and December 31. The bonds have a $22,000 par value and an annual contract rate of 12%, and they mature in 10 years. (Table B.1, Table B.2, Table B.3, and Table B.4) (Use appropriate factor(s) from the tables provided.)

Required:

Consider each of the following three separate situations.

1. The market rate at the date of issuance is 10%.

(a) Complete the below table to determine the bonds' issue price on January 1, 2016.

(b) Prepare the journal entry to record their issuance.

• Record the issue of bonds with a par value of $22,000 cash on January 1, 2016. Assume that the market rate of interest at the date of issue is 10%.

• 2. The market rate at the date of issuance is 12%.

  (a) Complete the below table to determine the bonds' issue price on January 1, 2016.

• 	Table values are based on: n = i = Cash Flow Table Value Amount Present Value Par (maturity) value Interest (annuity) Price of bonds

• (b) Prepare the journal entry to record their issuance.

• Journal entry worksheet

• Record the issue of bonds with a par value of $22,000 cash on January 1, 2016. Assume that the market rate of interest at the date of issue is 12%.

3. The market rate at the date of issuance is 14%.

(a) Complete the below table to determine the bonds' issue price on January 1, 2016.

• Record the issue of bonds with a par value of $22,000 cash on January 1, 2016. Assume that the market rate of interest at the date of issue is 14%.

When you cough, your windpipe contracts. The speed, v(r), with which you expel air through your windpipe, depends in the radius, r, of your windpipe. If a is normal (rest) radius of your windpipe, then for 0<r<a. The speed is given by: v(r)=k(a-r)r^2 where k is a positive constant. For an individual, assume a to be constant. a. Find all critical points of v(r). b. what value of r minimizes the speed? Explain briefly using the second derivative test. c. What value of r maximizes the speed, and what is this maximum speed? explain briefly using the first derivative test. d. Consider two individuals, Jay and Dee. Jay's value of a is larger than Dee's value of a. How would Jay's maximum windpipe velocity compare to that of Dee? Explain briefly.

Jack is riding his bicycle from home to LeConte College with a velocity given by v(t)= -t^4 + 4-t^3 - 500t^2 +2000t in feet away from his house per minute and where t is in minutes. If it takes jack 20 minutes to get to LeConte College, find the following:

a.) Estimation of S (integral) upper 20, lower 0: v(t)dt using left-hand sums with n=2 subdivisions. Why is this a bad estimate?

b.)Estimation of S (integral) upper 20, lower 0, v(t)dt using right hand sums with n=5 subdivisions. What does this number represent an estimate of?

c.) Find the exact distance Jack traveled by integration (assume jack is 0 feet from his house at time = 0)(include units).

(8pts) A hot air balloon moves up at constant speed v = 20.0 m/s. When the balloon is 20.0 meter above the ground, a cup of lemonade falls out of the balloon. And the balloon continues to move up at a constant speed v = 20.0 m/s. Ignore the air resistance.(a)Describe the motion of the lemonade cup as relative to the ground.(b)Describe the motion of the lemonade cup as relative to the balloon. (c)On the same diagram,plot thev-t graph of the balloon and the v-t diagram of the lemonade cup as relative to the ground. Choose upward as the positive direction, and t=0 when the cup starts to fall out of the balloon.(d)How long does it take for the cup to fall tothe ground?(bonus 1pt) What is the distance between the cup and balloon 1 seconds after the cupis dropped?