The pressure and temperature at the beginning of the compression are 1 bar and 27°C. Assuming an ideal engine in which the compression ratio and the expansion ratio for a C.I engine are (15+ ? ???) and (8− ? ???) respectively. Determine the mean effective pressure, the ratio of maximum pressure to mean effective pressure and cycle efficiency. Also, find the fuel consumption per kWh if the indicated thermal efficiency is 50% of ideal efficiency, mechanical efficiency is 80% and the calorific value of diesel oil is 42000 kJ/kg. Assume for air: cp = 1.005 kJ/kg K ; cv = 0.718 kJ/kg K, γ = 1.4. [7 Marks] Where n is 17

1:A brand of dress shoes was put on sale for 20% off. This led to an increase of sale by 15%. The price elasticity of demand for this product is

2:

The concept of cross-price elasticity is used to examine the responsiveness of demand

3:

When the cross-price elasticity EPX = 3

4:

With elastic demand, a price increase will

5:

A direct relation between the price of one product and the demand for another holds for all

6:

According to the law of diminishing marginal utility

2. Entries for Bad Debt Expense under the Direct Write-Off and Allowance Methods

   The following selected transactions were taken from the records of Shipway Company for the first year of its operations ending December 31:

   Apr. 13.	Wrote off account of Dean Sheppard, $5,050.
   May 15.	Received $2,530 as partial payment on the $6,720 account of Dan Pyle. Wrote off the remaining balance as uncollectible.
   July 27.	Received $5,050 from Dean Sheppard, whose account had been written off on April 13. Reinstated the account and recorded the cash receipt.
   Dec. 31.	Wrote off the following accounts as uncollectible (record as one journal entry):
   	Paul Chapman $3,380 Duane DeRosa 2,530 Teresa Galloway 1,520 Ernie Klatt 2,120 Marty Richey 760
   Dec. 31	If necessary, record the year-end adjusting entry for uncollectible accounts.

   For those amount boxes in which no entry is required, leave the box blank. If an entry is not required, select "No entry" from the dropdown box(es).

   a. Journalize the transactions under the direct write-off method.

   Apr. 13	Bad Debt Expense
   	Accounts Receivable-Dean Sheppard
   May 15	Cash
   	Bad Debt Expense
   	Accounts Receivable-Dan Pyle
   July 27-reinstate	Accounts Receivable-Dean Sheppard
   	Bad Debt Expense
   July 27-collection	Cash
   	Accounts Receivable-Dean Sheppard
   Dec. 31-write-off	Bad Debt Expense
   	Accounts Receivable-Paul Chapman
   	Accounts Receivable-Duane DeRosa
   	Accounts Receivable-Teresa Galloway
   	Accounts Receivable-Ernie Klatt
   	Accounts Receivable-Marty Richey
   Dec. 31-adjusting	No entry
   	No entry

   Feedback

   Remember that under the direct write-off method, Bad Debt Expense is not recorded until the customer's account is determined to be worthless.

   Under the allowance method once a customer account is identified as uncollectible, it is written off against the allowance account.

   b. Journalize the transactions under the allowance method. Shipway Company uses the percent of credit sales method of estimating uncollectible accounts expense. Based on past history and industry averages, 2% of credit sales are expected to be uncollectible. Shipway Company recorded $1,232,500 of credit sales during the year.

   Apr. 13	Allowance for Doubtful Accounts
   	Accounts Receivable-Dean Sheppard
   May 15	Cash
   	Allowance for Doubtful Accounts
   	Accounts Receivable-Dan Pyle
   July 27-reinstate	Accounts Receivable-Dean Sheppard
   	Allowance for Doubtful Accounts
   July 27-collection	Cash
   	Accounts Receivable-Dean Sheppard
   Dec. 31-write-off	Allowance for Doubtful Accounts
   	Accounts Receivable-Paul Chapman
   	Accounts Receivable-Duane DeRosa
   	Accounts Receivable-Teresa Galloway
   	Accounts Receivable-Ernie Klatt
   	Accounts Receivable-Marty Richey
   Dec. 31-adjusting	Bad Debt Expense
   	Allowance for Doubtful Accounts

   Feedback

   Partially correct

   c. How much higher (lower) would Shipway Company’s net income have been under the direct write-off method than under the allowance method?
   Higher  by $

   Feedback

   Compare the bad debt expense account balance for both methods.

   Feedback

   Partially correct

The following selected transactions were taken from the records of Shipway Company for the first year of its operations ending December 31:

For those amount boxes in which no entry is required, leave the box blank. If an entry is not required, select "No entry" from the dropdown box(es).

a. Journalize the transactions under the direct write-off method.

b. Shipway Company uses the percent of credit sales method of estimating uncollectible accounts expense. Based on past history and industry averages, 2% of credit sales are expected to be uncollectible. Shipway Company recorded $1,266,500 of credit sales during the year.

Journalize the transactions under the allowance method.

Feedback

Remember that under the direct write-off method, Bad Debt Expense is not recorded until the customer's account is determined to be worthless.

Under the allowance method once a customer account is identified as uncollectible, it is written off against the allowance account.

Learning Objective 5.

c. How much higher (lower) would Shipway Company's net income have been under the direct write-off method than under the allowance method?

On May 1, 2011, Javier Munoz opened Javier’s Repair Service. During the month, he completed the following transactions for the company:

May      1          Began business by depositing $5,000 in a bank account in the name of the company in exchange for 500 shares of $10 par value common stock.

            1          Paid the rent for the store for current month, $425.

            1          Paid the premium on a one-year insurance policy, $480.

            2          Purchased repair equipment from Chmura Company, $4,200. Terms were $600 down and $300 per month for one year. First payment is due June 1.

            5          Purchased repair supplies from Brown Company on credit, $468.

            8          Paid cash for an advertisement in a local newspaper, $60.

            15        Received cash repair revenue for the first half of the month, $400.

            21        Paid Brown Company on account, $225.

            31        Received cash repair revenue for the last half of May, $975.

            31        Declared and paid a cash dividend, $300.

Required for May

1.         Prepare journal entries to record the May transactions.

2.         Open the following accounts: Cash (111); Prepaid Insurance (117); Repair Supplies (119); Repair Equipment (144); Accumulated Depreciation – Repair Equipment (145); Accounts Payable (212); Common Stock (311); Dividends (313): Income Summary (314); Repair Revenue (411); Store Rent Expense (511); Advertising Expense (512); Insurance Expense (513); Repair Supplies Expense (514); and Depreciation Expense – Repair Equipment (515). Post the May journal entries to the ledger accounts.

3.         Using the following information, record adjusting entries in the general journal and post to the ledger accounts:

                        a.         One month’s insurance has expired

                        b.         The remaining inventory of unused repair supplies is $169.

                        c.         The estimated depreciation on repair equipment is $70.

                        d.         Estimated income taxes, $50.

4.         From the accounts in the ledger, prepare an adjusted trial balance. (Note: Normally, a trial balance is also prepared before adjustments but is omitted here to save time).

5.         From the adjusted trial balance, prepare an income statement, a statement of retained earnings, and a balance sheet for May.

6.         Prepare and post closing entries.

7.         Prepare a post-closing trial balance.

Second Part:

During June, Javier Munoz completed these transactions for Javier’s Repair Service:

June    1          Paid monthly rent. $425.

            1          Made the monthly payment to Chmura Company, $300.

            6          Purchased additional repair supplies on credit from Brown Company, $863.

            15        Received cash repair revenue for the first half of the month, $914.

            20        Paid cash for an advertisement in the local newspaper, $60.

            23        Paid Brown Company on account, $600.

            30        Received cash repair revenue for the last half of the month, $817.

            30        Declared and paid a dividend, $300.

8.         Prepare and post journal entries to record the June transactions.

9.         Using the following information, record adjusting entries in the general journal and post to the ledger accounts:

                        a.         One month’s insurance has expired

                        b.         The remaining inventory of unused repair supplies is $413.

                        c.         The estimated depreciation on repair equipment is $70.

                        d.         Estimated income taxes, $50.

10.       From the accounts in the ledger, prepare an adjusted trial balance. (Note: Normally, a trial balance is also prepared before adjustments but is omitted here to save time).

11.       From the adjusted trial balance, prepare an income statement, a statement of retained earnings, and a balance sheet for June.

12.       Prepare and post closing entries.

13.       Prepare a post-closing trial balance.

A fire insurance company thought that the mean distance from a home to the nearest fire department in a suburb of Chicago was at least 5.9 miles. It set its fire insurance rates accordingly. Members of the community set out to show that the mean distance was less than 5.9 miles. This, they thought, would convince the insurance company to lower its rates. They randomly indentified 62 homes and measured the distance to the nearest fire department from each. The resulting sample mean was 5.3. If σ = 2 miles, does the sample show sufficient evidence to support the community's claim at the α = .05 level of significance?

(a) Find z. (Give your answer correct to two decimal places.)


(ii) Find the p-value. (Give your answer correct to four decimal places.)

(b) State the appropriate conclusion.

Reject the null hypothesis, there is not significant evidence that the mean distance is less than 5.9 miles. Reject the null hypothesis, there is significant evidence that the mean distance is less than 5.9 miles.     Fail to reject the null hypothesis, there is significant evidence that the mean distance is less than 5.9 miles. Fail to reject the null hypothesis, there is not significant evidence that the mean distance is less than 5.9 miles.

2.From candy to jewelry to flowers, the average consumer was expected to spend $104.21 for Mother's Day in 2005, according to the Democrat & Chronicle article "Mom's getting more this year" (May 7, 2005). Local merchants thought this average was too high for their area. They contracted an agency to conduct a study. A random sample of 62 consumers was taken at a local shopping mall the Saturday before Mother's Day and produced a sample mean amount of $94.33. If σ = $29.93, does the sample provide sufficient evidence to support the merchants' claim at the .05 significance level?

(a) Find z. (Give your answer correct to two decimal places.)


(ii) Find the p-value. (Give your answer correct to four decimal places.)

(b) State the appropriate conclusion.

Reject the null hypothesis, there is not significant evidence to support the merchants' claim. Reject the null hypothesis, there is significant evidence to support the merchants' claim.     Fail to reject the null hypothesis, there is significant evidence to support the merchants' claim. Fail to reject the null hypothesis, there is not significant evidence to support the merchants' claim.

Chapter 10 - 32

The post anesthesia care area (recovery room) at St. Luke’s Hospital in Maumee, Ohio, was recently enlarged. The hope was that the change would increase the mean number of patients served per day to more than 25. A random sample of 15 days revealed the following numbers of patients.

Wiley Hill opened Hill's Repairs on March 1 of the current year. During March, the following transactions occurred:

1. Wiley invested $31,000 cash in the business in exchange for common stock.
2. Wiley contributed $106,000 of equipment to the business in exchange for common stock.
3. The company paid $2,600 cash to rent office space for the month of March.
4. The company received $22,000 cash for repair services provided during March.
5. The company paid $6,800 for salaries for the month of March.
6. The company provided $3,600 of services to customers on account.
7. The company paid cash of $1,100 for utilities for the month of March.
8. The company received $3,700 cash in advance from a customer for repair services to be provided in April.
9. The company paid $5,600 in cash dividends.

Based on this information, the total amount of stockholders’ equity reported on the balance sheet at the end of March would be:

The article "An Alternative Vote: Applying Science to the Teaching of Science"† describes an experiment conducted at the University of British Columbia. A total of 850 engineering students enrolled in a physics course participated in the experiment. Students were randomly assigned to one of two experimental groups. Both groups attended the same lectures for the first 11 weeks of the semester. In the twelfth week, one of the groups was switched to a style of teaching where students were expected to do reading assignments prior to class, and then class time was used to focus on problem solving, discussion, and group work. The second group continued with the traditional lecture approach. At the end of the twelfth week, students were given a test over the course material from that week. The mean test score for students in the new teaching method group was 74, and the mean test score for students in the traditional lecture group was 41. Suppose that the two groups each consisted of 425 students. Also suppose that the standard deviations of test scores for the new teaching method group and the traditional lecture method group were 27 and 20, respectively. Estimate the difference in mean test score for the two teaching methods using a 95% confidence interval. (Use μ_{new method} − μ_{traditional method}. Use technology. Round your answers to three decimal places.)

The confidence interval----------------to conclude that the true mean test score for the new teaching method is greater than the true mean test score for the traditional lecture method because zero  ------------contained in the confidence interval.Give an interpretation of the interval.