On June 8, Alton Co issued an $80,000, 6%, 120-day note payable on an overdue account payable to Seller Co Assume that the fiscal year of Alton Co ends June 30. Which of the following relationships is true?
A) Alton is the creditor and credits Accounts Receivable
B) Seller is the creditor and debits Accounts Receivable
C) Seller is the borrower and credits Accounts Payable
D) Alton is the borrower and debits Accounts Payable
D
You might also like to view...
If A and B are independent events with P(A) = 0.4 and P(B) = 0.25, then P(A?B) =
A. 0.65. B. 0.1. C. 0.625. D. 0.15.
In a period of rising prices, which inventory method is best to use for tax purposes?
a. FIFO b. Average-cost c. Specific identification d. LIFO
In comparing products and services, ______.
a. it is easier to standardize a service than a product b. design of services is a mature industry c. services are unique experiences tailored for the individual customer at a given time d. products have greater variation in design
Under the UCC, a(n) __________ is a sequence of previous conduct between the parties to an agreement which may be fairly regarded as establishing a common basis of understanding for interpreting their conduct under the contract
a. course of dealing b. usage of trade c. course of performance d. extrinsic set of evidence