FINANCIAL & MANAG ACCT (CH. 1 - 24 LOOSE
FINANCIAL & MANAG ACCT (CH. 1 - 24 LOOSE
9th Edition
ISBN: 9781266904868
Author: Wild
Publisher: MCG
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Chapter 7, Problem 4DQ
To determine

Note receivable:

It refers to the amount that is to be received by a company from a third party on a promise to pay at any specified future date.

Accounts Receivable:

It refers to the amount that is to be received by a company for providing goods and services on credit. It is an asset account.

To explain: The reasons of preference of note receivable over accounts receivable.

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Please provide answer this general accounting question
Premier Lighting Co. shows Merchandise Inventory of $35,000. Based on a count taken on December 31, merchandise inventory at the end of the year actually totaled $28,000. The adjusting entry to remove the old merchandise inventory balance would be: A)a debit to Income Summary of $28,000 and a credit to Merchandise Inventory for The adjusting entry to remove the old merchandise inventory balance would be:
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