One of the serious problems with which they had to grapple was the money question. All through the United States the finances were in utter disorder, the medium of exchange being a jumble of almost worthless paper currency, and of foreign coin of every kind, while the standard of value varied from State to State. But in the backwoods conditions were even worse, for there was hardly any money at all. Transactions were accomplished chiefly by the primeval method of barter. Accordingly, this backwoods Legislature legalized the payment of taxes and salaries in kind, and set a standard of values. The dollar was declared equal to six shillings, and a scale of prices was established. Among the articles which were enumerated as being lawfully payable for taxes were bacon at six pence a pound, rye whiskey at two shillings and six pence a gallon, peach or apple brandy at three shillings per gallon, and country-made sugar at one shilling per pound. Skins, however, formed the ordinary currency; otter, beaver, and deer being worth six shillings apiece, and raccoon and fox one shilling and three pence. The Governor's salary was set at two hundred pounds, and that of the highest judge at one hundred and fifty. Correspondence with North Carolina. The new Governor sent a formal communication to Governor Alexander Martin of North Carolina, announcing that the three counties beyond the mountains had declared their independence, and erected themselves into a separate state, and setting forth their reasons for the step. Governor Martin answered Sevier in a public letter, in which he went over his arguments one by one, and sought to refute them. He announced the willingness of the parent State to accede to the separation when the proper time came; but he pointed out that North Carolina could not consent to such irregular and unauthorized separation, and that Congress would certainly not countenance it against her wishes. In answering an argument drawn from the condition of affairs in Vermont, Martin showed that the Green Mountain State should not be treated as an example in point, because she had asserted her independence, as a separate commonwealth, before the Revolution, and yet had joined in the war against the British.