The ledger accounts of the business at June 30, 2007, are listed here in alphabetical order: Accounts Payable $ 26,100 Notes Payable $180,000
Accounts Receivable 7,450 Notes Receivable 9,500
Animals 189,060 Props and Equipment 89,580
Cages 24,630 Retained Earnings 27,230
Capital Stock 310,000 Salaries Payable 9,750
Cash ? Tents 63,000
Costumes 31,500 Trucks&Wagons 105,840
Instructions
a. Prepare a balance sheet by using these items and computing the amount of Cash at June 30. 2007. Organize your balance sheet similar to the one illustrated in Exhibit 2-10. (After "Ac­counts Receivable." you may list the remaining assets in any order. ) Include a proper balance sheet heading.
b. Assume that late in the evening of June 30, after your balance sheet had been prepared, a fire destroyed one of the tents, which had cost $14,300. The tent was not insured. Explain what changes would be required in your June 30 balance sheet to reflect the loss of this asset.

Balance Sheet

As of June 30, 2007

Assets

Cash                                     $32,520

Accounts Receivable               7,450

Notes Receivable                    9,500

Animals                                 189,060

Props and Equipment           89,580

Cages                                    24,630

Tents                                     63,000

Costumes                              31,500

Trucks & Wagons               105,840

Total assets                     $553,080

Liabilities and Equity:

Accounts Payable             $ 26,100

Notes Payable                    180,000

Salaries Payable                    9,750

Capital Stock                     310,000

Retained Earnings              27,230

Total liabilities & equity $553,080

b. The required changes to the June 30 balance sheet to reflect the loss of this asset are:

1. Reduce Tents by $14,300 (Loss of Assets)

2. Reduce Retained Earnings by $14,300 (Loss of Assets)

Explanation:

a) Data and Calculations:

Cash                                     $32,520 (Total assets - other assets)

Accounts Receivable               7,450

Notes Receivable                    9,500

Animals                                 189,060

Props and Equipment           89,580

Cages                                    24,630

Tents                                     63,000

Costumes                              31,500

Trucks & Wagons               105,840

Accounts Payable             $ 26,100

Notes Payable                    180,000

Salaries Payable                    9,750

Capital Stock                     310,000

Retained Earnings              27,230

ans.

heterothermic organisms include those organisms that can switch between homeothermic (having body temperature higher than environment) and poikilothermic (having variation in internal body temperature) strategies.

some migratory birds show heterothermy as they decrease their metabolic rate during cold nights to keep their body temperature low. drop in metabolic rate allows increase in production efficiency of birds that reduces the internal body temperature to make it equal to external cold temperature during cold nights.

thus, the correct answer is 'birds allow their temperature drop in order to increase their production efficiency.'