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Question - Jason Hatfield recently purchased on personalized Well-being chair from Richboro store. Jason paid $2,000 as a cash deposit on the chair. The chair cost Richboro $20,000 and has a total retail price of $35,000. Richboro has set the chair aside pending to install the personalised equipment to the chair. Richboro does not require its customers to enter into an instalment note or other fixed-payment commitment or agreement when the initial deposit is received. Merchandise generally is not released to the customer until the customer pays the full purchase price. If the customer fails to pay the remaining purchase price, the customer forfeits his or her cash deposit. In the event the merchandise is lost, damaged, or destroyed, Richboro either must refund the cash deposit to the customer or provide replacement merchandise. When should Richboro recognize the revenue from the sale to Jason? Prepare the appropriate journal entries on Richboro's books to record the receipt of the cash and the subsequent delivery of the chair when the remaining balance is collected. Assume that Richboro uses the perpetual inventory method (i.e., immediately recognizes cost of merchandise sold).
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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