n0-14 Defining common receivables terms Lea Match the terms with their correct dcinition. Definitions Terms a. The party to a credit transaction who takes on an obligation/payable. b. The party who receives a receivable and will collect cash in the future. 1. Accounts receivable 2. Other receivables 3. Debtor C. A written promise to pay a specified amount of money at a particular future date. d. The date when the note receivable is due. 4. Notes receivable 5. Maturity date 6. Creditor e. A miscellaneous category that includes any other type of receivable where there is a right to receive cash in the future. f. The right to receive cash in the future from customers for goods sold or for services performed.

n0-14 Defining common receivables terms Lea Match the terms with their correct dcinition. Definitions Terms a. The party to a credit transaction who takes on an obligation/payable. b. The party who receives a receivable and will collect cash in the future. 1. Accounts receivable 2. Other receivables 3. Debtor C. A written promise to pay a specified amount of money at a particular future date. d. The date when the note receivable is due. 4. Notes receivable 5. Maturity date 6. Creditor e. A miscellaneous category that includes any other type of receivable where there is a right to receive cash in the future. f. The right to receive cash in the future from customers for goods sold or for services performed.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Simple interest applies when interest is earned _____________. a. on interest b. in a serious of…

A: Interest is the value provided or paid for the sum borrowed. If the company has made certain…

Q: Which ones have a credit balance? Bills in arrears Promissory notes receivable in advance

A: The different accounts in the business have normal Debit and credit balance. The assets and expenses…

Q: A promissory note is"inchoate" until it has been delivered to the____ a. payer or bearer b.payee…

A: Lets start with basic understanding. As per bill of exchange Act 1982, Promissory note is a…

Q: The "principal" of a note receivable refers to: a.the amount of cash borrowed. b.the present value…

A: The principal amount of a note receivable is the amount of cash borrowed.

Q: Which of the following entries would be the appropriate entry for writing off an uncollectible…

A: Sales means the amount recorded in books as revenue earned by selling the goods or services. Account…

Q: a debtor and a creditor record the same note, respectively, as a: A. note receivable and note…

A: The debtor refers to the person or an entity who owes some amount from another person. The another…

Q: Which of the following statements is true? Group of answer choices Companies typically report gross…

A: The objective of the question is to identify the correct statement about how companies typically…

Q: Question 10 of 18 Which of the following increases the reported receivables in the financial…

A: Financial Statements are the statements presented to provide the information about the company’s…

Q: Which of the following represents amounts owed for goods, supplies, or services purchased? Group of…

A: The question is asking to identify the term that represents the amounts that a company owes for…

Q: 3. A liability created for receiving cash for future services to be provided is termec Oservice…

A: The accrual basis accounting records the revenue and expenses as soon as they are incurred…

Q: The journal entry to record accrued interest on a short-term note payable includes a debit to: A.…

A: Accrued interest is the interest that is accrued over the period.

Q: From page 5-3 of the VLN, what is the appropriate relationship to compute net accounts receivable?…

A: Customers who have received goods or services from a business but haven't yet made payment are said…

Q: The party who borrows money in a note payable is known as the: Multiple Choice Maker. Payee Issuer.…

A: Notes payable are written promises by a borrower to repay a specific amount of money to a lender on…

Q: If a credit marked as "Upon receipt by the beneficiary of notice from the issuing bank that a draft…

A: The question is based on the banking term and arrangement of credit under different conditions.…

Q: Amounts owed by customers on account. [ Choose ] The analysis of customer balances by the [ Choose ]…

A: As per the guidelines, only three parts are allowed to be solved. Please resubmit the remaining…

Q: 104 Exercise 2-6 Your analysis of Accounts Receivable carried at P2,406,750 on Dec. 31, 2019 shows…

Q: nts) Which of the following is NOT a difference we discussed between accounts and notes receivable?…

A: Accounts receivable represents the money owed by customers,. Accounts receivable is significantly…

Q: When the maker pays the full amount due on note receivable on the maturity date it is called as. a.…

A: Note receivable is a form of current asset of the business. It denotes amount to be received from…

Q: The percentage-of-receivables basis for estimating uncollectible accounts emphasizes O the…

A: Bad debt expense is the anticipated amount of accounts receivable that will not be paid by…

Q: Bramble Corp. provides at no extra charge a two-year warranty with one of its products, which was…

A: Some of the company selling product also offers a warranty with it. The warranty expenses refers to…

Q: Which of the following is the term commonly used to describe the practice of reporting the net…

A: Under the Allowance method of recording uncollectibles, an entity estimates the percentage of…

Concept explainers

Bookkeeping

Bookkeeping is the process of recording the financial transactions of a company on a regular basis. With the process of bookkeeping, companies can track important financial information that helps management in making crucial decisions.

Question

ro.14 Defining common receivalles terms
Metch the terms with their correct definition.
Lear
Definitions
Terms
a. The party to a credit transaction who takes on an
obligation/payable.
b. The party who receives a receivable and will collect cash in
1. Accounts receivable
2. Other receivables
3. Debtor
the future.
C. A written promise to pay a specified amount of money at a
particular future date.
4. Notes receivable
5. Maturity date
d. The date when the note receivable is due.
e. A miscellaneous category that includes any other type of
receivable where there is a right to receive cash in the
future.
6. Creditor
f. The right to receive cash in the future from customers for
goods sold or for services performed.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

A. Amount of interest charge for each note B. Amount boweower would receive C. Amount payer would receive at maturity D. Effective rate
* :Maker is The party to whom the payment is to be made in a promissory note The party making the promise to pay in a promissory note Both answers are true O
IFRS requires all of the following when classifying receivables except Select one: O a. Indicate the receivables classified as current and non-current in the statement of financial position. O b. All of these answer choices are required by IFRS when classifying receivables. Oc Disclose all significant concentrations of credit risk arising from receivables. Od. Disclose any receivables pledged as collateral.
8. Discount on Note Payable should be classified as a a. current asset b. contra account to Notes Payable c. part of stockholder's equity d. deferred debt
20 D8 E10-5 exercise FAB Company sells a wide range of merchandise, which are initially purchased on account. Short-term notes are frequently issued to obtain cash. a) On January 10, FAB purchased $200 of merchandise on credit on a perpetual system. b) On March 1, FAB borrowed $600 by issuing a promissory note at face with 8 percent interest accrued at the beginning of each month until paid at maturity in six months. c) On April 1, FAB accrued interest on the $600 note. NAME d) On September 1, FAB paid the note and accrued interest. REQUIRED: 1. On the spreadsheet below, record each event (a) to (d) above; name blank accounts. 2. As each event is recorded, indicate its effect on FAB's current ratio, debt-asset ratio, and times interest earned: Increase, Decrease, or No effect. FAB had $3000 liabilities and $5000 total assets prior to January 10. Event--FAB Co. Beginning Balanc a)buy merchandise b) receive on note c) accrue interest for March on Apr 1 d) pay note pay interest Ending…