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Question - As Mel smith was doing his year end accounting he noticed the bookkeeper had made errors in several transaction. The erroneous transaction are as follows
1. A check for 700 was issued for good previously purchased on account. The bookkeeper debited accounts receivable and credited cash for 700
2. A check for 180 was received as payment on account. The bookkeeper debited accounts payable for 810 and credited accounts receivable for 810
3. when making the entry to record the year's depreciation expense, the bookkeeper debited accumulated depreciation -- equipment for 1,000 and credited account for 1,000
4. When accruing interest on a note payable, the bookkeeper debited interest receivable for 200 and credited interest payable for 200
Required - Prepare the appropriate correcting entries.
Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest. How much control does the Fed have over this longer real rate?
Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.
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