Answer the following statements true (T) or false (F)

1) Notes receivable represent a written promise that a party will pay a fixed amount of principal plus interest on a stated maturity date.
2) The payment terms for a note receivable are generally longer than that of an account receivable.
3) Dividends receivable, interest receivable, and taxes receivable are generally categorized as other receivables.
4) Notes receivable due within 12 months or within the normal operating cycle if the cycle is longer than a year are considered long-term assets.


1) TRUE
2) TRUE
3) TRUE
4) FALSE

Business

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Which set of items below are current assets?

a. Accounts receivable, net income, inventory, and dividends b. Cash, accounts receivable, capital stock, and sales c. Net income, cash, office supplies, and inventory d. Cash, accounts receivable, inventory, and office supplies

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What will be an ideal response?

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A person who is insane but not adjudged insane cannot void a contract he or she has entered into

Indicate whether the statement is true or false

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Which of the following types of concurrent ownership does not provide for rights of survivorship?

A) Joint tenancy. B) Tenancy in common. C) Tenancy by the entirety. D) All of these provide for rights of survivorship.

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