This corporation sells office products and performs accounting services.

S & B uses the Perpetual Inventory system and had the following balances:

S & B Office Supplies and Services

Trial Balance

November 1, 2018

During the month of November, the following summary transactions were completed.

Nov. 1   Paid November Rent $375

8    Paid $3,550 for salaries due employees, of which 1,850 is for November and $1,700 is for October.

        10     Received $1,900 cash from customers in payment of account.

        11     Purchased merchandise on account from dd’s Discount Supply $8,000, terms 2/10, n/30.

        12     Sold merchandise on account for $5,500, terms 2/10, n/30. The cost of the
merchandise sold was $4,000.

        15     Received credit from dd’s Discount Supply for merchandise returned $300.

        19     Received collections in full, less discounts, from customers billed
on sales of $5,500 on November 12.

        20     Paid dd’s Discount Supply in full, less discount.

        22     Received $2,300 Cash for services performed in November.

        25     Purchased equipment on account $5,000.

        27     Purchased supplies on account $1,700.

        28     Paid creditors $3,000 of accounts payable due.

        29     Paid Salaries $1,300.

        29     Performed services on account and billed customers $700.

        29     Received $675 from customers for services to be performed in the future.

Adjustment Data:

1. Supplies on hand are valued at $1,400.
2. Accrued salaries are $500.
3. Depreciation for the month is $250.
4. $750 of services related to the unearned service revenue has not been earned by month end.

Instructions:

1. Enter the November 1, balances in ledger accounts.
2. Journalize the November transactions.
3. Post to the ledger accounts. HINT: You will need to add some accounts to the beginning ones available.
4. Journalize and Post the Adjusting Entries.
5. Prepare an adjusted trial balance at November 30, 2018.
6. Journalize the Closing Entries.

The data below shows height (in inches) and pulse rates (in beats per minute) of a random sample of women. Find the value of the linear correlation coefficient r, using a significance level of 0.05 Is there sufficient evidence to conclude that there is a linear correlation between height and pulse rate?

Height | Pulse Rate

61.7    80

64.3    74

60.1    89

60.3 61

59.3 75

61.5 66

59.6    83

61.1    61

67.5    68

59.7 68

67.1 81

63.3 76

61.8 70

58.9    74

59.2 71

59.5    72

66.6    83

60.8 79

69.6 76

58.2 76

Case Study: Not Easy Being Indie
Tough time to be in the retail music business. That wasn’t always the case as chains such as
Sam Goody’s and Tower Records competed side by side with thousands of independent record
stores. Back in the day, one of the best independents was Millennium Music in Charleston,
South Carolina—perennially winning awards for best CD store and best store staff. But things
change.
Millennium Music owner Kent Wagner had done everything possible to fight the changing tide
brought on by the rise of digital music: At the apex of the business, Wagner owed seven stores,
but for seven straight years, Millennium had suffered double-digit revenue declines. We always
thought of ourselves as a community center, a meeting place,” says Wagner. “We knew the
industry was in decline, but we thought we were different.”
It turned out Millennium wasn’t different. And Wagner and his business partner, Clayton
Woodson, soon faced a stark choice: fold up the business completely and walk away, or attempt
to transform it into something entirely different. The once-hot business had but one glowing
ember left: a small but growing online trading business that allowed customers to exchange
used CDs, DVDs, and books for electronics—iPods and the like. Millennium was able to make
money by reselling the used merchandise on Amazon, eBay, and other sites.
Millennium was launched by Wagner in 1994 with the focus of creating a thinking person’s
music store. Their competitive advantage was based on an inventory of hard-to-find records
with large classical and jazz sections and stellar customer service. Millennium would make
music connoisseurship friendly and accessible.
In the early years, that philosophy worked well, and revenue grew some 20 percent annually.
At its peak, Millennium generated sales of about $10 million annually. Live bands played
regularly, Millennium hosted a live-jazz happy hour, and they held book readings. Wagner
opened a restaurant and a bar and expanded to book sales and DVD rentals.
But the seismic industry shifts that put Sam Goody’s, Tower Records, and many others out of
business started catching up to Millennium. As the years rolled by, the losses mounted.
Wagner’s empire was hemorrhaging, and he was soon ready to try anything. In 2006, he turned

2

for help to his marketing director, Clayton Woodson, whose eclectic background included
making furniture, teaching first grade at a charter school in New York, and teaching acrobatic
yoga. “Clayton tends to see looking at the abyss as a growing experience,” says Wagner. “I’m
the opposite.”
That glowing ember of Millennium’s business—the used-CD section—gave Woodson an idea.
Customers often came in hoping to exchange their old CDs for store credit. What if Millennium
could formalize the process to entice additional customers by offering to trade iPods for used
CDs? In the summer of 2005, he persuaded Wagner to give the idea a try. Woodson soon had
another insight: Buying a used CD online was actually cheaper than buying an MP3 album
through iTunes. If Millennium moved its iPod trading program online, it could collect discs
from across the globe, profitably resell them online, and still undercut iTunes’s prices.
Millennium launched FeedYourPlayer.com in 2006. Traffic soared from a few hundred visitors
per week to more than 15,000. New customers were soon mailing in more than 6,000 items a
week. By 2007, the online exchange brought in $400,000 of Millennium’s $1.7 million
revenue. FeedYourPlayer’s performance was heading in the exact opposite direction of
Millennium’s lone remaining store. In its last full year of operation, the store lost nearly $1
million. In September 2007, Wagner called a company meeting with his 25 or so remaining
employees. He delivered the news that many had already foreseen. The retail business was
dying. The future was online. The store would remain open, but resources would be put toward
building FeedYourPlayer.
Employees were still upset even if they had seen the changes coming. Millennium’s music
buyer quit when he realized the emphasis would be peddling used CDs rather than fresh
releases. Wagner understood his employees’ anguish. He says, “staff members were
accustomed to being tastemakers.” Wagner felt the confliction himself. He clung to the hope
that the huge changes might save the store. “When you spend so much of your energy fighting
against the blindingly obvious,” says Wagner, “you can lose your focus on the big picture.”

Required:
1.
a. Using the strategic planning process discussed in class, describe three core
problems to be solved by Millennium?
b. Explain four potential alternative solutions to the problems identified?

Information security activities often create tension between the desire of users to engage in a particular activity and the need to secure the information assets of an organization. If business stakeholders and the broader community span the globe, how might this contribute to increasing the potential tension between business users and information security professionals? Discuss a strategy that you would use to reduce or eliminate potential areas of tension or conflict between these two groups within a global organization.

6.4) 1. U.S. Internet advertising revenue grew at the rate of

R(t) = 0.82t + 1.14    (0 ≤ t ≤ 4)

billion dollars/year between 2002

(t = 0)

and 2006

(t = 4).

The advertising revenue in 2002 was $5.9 billion.†

(a)

Find an expression f(t) giving the advertising revenue in year t.

f(t) =

(b)

If the trend continued, what was the Internet advertising revenue in 2009? (Enter your answer in billions of dollars. Round your answer to two decimal places.)

$ billion

6.5 1.) The increase in carbon dioxide (CO₂) in the atmosphere is a major cause of global warming. Using data obtained by Charles David Keeling, professor at Scripps Institution of Oceanography, the average amount of CO₂ in the atmosphere from 1958 through 2010 is approximated by

A(t) = 0.012313t² + 0.7545t + 313.9    (1 ≤ t ≤ 53)

where A(t) is measured in parts per million volume (ppmv) and t in years, with t = 1 corresponding to 1958.† Find the average amount of CO₂ in the atmosphere from 1958 through 2010. (Round your answer to two decimal places.)

6.7.1) It is known that the quantity demanded of a certain make of portable hair dryer is x hundred units/week and the corresponding wholesale unit price is

p =

dollars. Determine the consumers' surplus if the market price is set at $15/unit. (Round your answer to two decimal places.)
$

6.7.2) The manufacturer of a brand of mattresses will make x hundred units available in the market when the unit price is

p = 150 + 90e^0.04x

dollars.

(a) Find the number of mattresses the manufacturer will make available in the market place if the unit price is set at $400/mattress. (Round your answer to the nearest integer.)
mattresses

(b) Use the result of part (a) to find the producers' surplus if the unit price is set at $400/mattress. (Round your answer to the nearest dollar.)
$

Discuss the relationship between price elasticity and total revenue. Are they significant?

Explain the relationship between price elasticity of demand and total revenue.

1) Why is design so important to a good business document?

2) Name, describe, and discuss three or four major factors of design that can contribute to a better design.

3) In terms of these three or four same factors, what could go wrong?

4) What are the major considerations for creating text in a document? Do you ever think about these considerations?

5) Which graphic elements seem most relevant to your own current job or career plan?

6) Were you surprised by any of the questions the book listed to consider when adding a graphic element? Which ones and why? Do certain questions seem more useful to you?

7) I would argue there is a thin line between good design and overkill. What do you think I mean? What do you think the best way to learn that line would be?

In October of fiscal year 2005, Lowe’s also issued $500 million of unsecured notes with a coupon rate of 5.5% and maturing in October 2035. How much did Lowe’s receive in cash from this issuance? Assume the market rate of interest is 5.61%. In April 2006, what will be the amount of Lowe’s cash payment to the investors who hold these notes? What will be Lowe’s interest expense from October 2005 to April 2006 for these notes? In April 2006, what will be the carrying value of these notes?