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Question - On July 15, Reagan, Inc. was incorporated and subsequently entered into a subscription contract to sell 10,000 shares of $10 par common stock at a price of $22/share. The contract requires a down payment of 10%, with the remaining balance to be paid on October 1. The stock will be issued to each subscriber upon full payment. Assume that no other transactions affected common stock during the year.
A total of 9,000 shares were paid for under the subscription agreement, and the remaining 1,000 shares were sold to the market at $9/share on October 2. What is the balance in the Common Stock account as of December 31?
A. $90,000
B. $99,000
C. $100,000
D. $193,000
E. $207,000
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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Simple Interest, Compound interest, discount rate, force of interest, AV, PV
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