When a company receives an interest-bearing note receivable, it will
A) debit Notes Receivable for the maturity value of the note.
B) debit Notes Receivable for the face value of the note.
C) credit Notes Receivable for the maturity value of the note.
D) credit Notes Receivable for the face value of the note.
B
You might also like to view...
The correct term for the process of transferring amounts from a book of original entry to specific assets, liabilities, revenues, expenses, and stockholders' equity items is
a. Double-entry system b. Recording c. Credit d. Posting
Which one of the following statements best describes the term "outstanding check?"
a. A check written by the company and presented to the bank for payment. b. A check written by the company but not yet presented to the bank for payment. c. A check written by a customer that has been presented to the bank for payment. d. A check written by a customer that has not yet been presented to the bank for payment.
Smith Company had retained earnings of $60,000 at the end of the current year. For the current year, income was $30,000 and dividends $10,000 . What was the balance in retained earnings at the end of the prior year?
a. $30,000 b. $40,000 c. $60,000 d. $30,000 e. $70,000
Small expenditures for what ordinarily are considered revenue expenditures frequently are treated as capital expenditures
Indicate whether the statement is true or false