If a note receivable is discounted without recourse a. the contingent liability may be disclosed b. liability for note receivable discounted is credited c. note receivable is credited d. the transaction shall be accounted for as a secured borrowing as opposed to a sale
If a note receivable is discounted without recourse a. the contingent liability may be disclosed b. liability for note receivable discounted is credited c. note receivable is credited d. the transaction shall be accounted for as a secured borrowing as opposed to a sale
Chapter12: Current Liabilities
Section: Chapter Questions
Problem 14Q: What business circumstance could bring about a short-term note payable created from a purchase?
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If a note receivable is discounted without recourse
a. the
b. liability for note receivable discounted is credited
c. note receivable is credited
d. the transaction shall be accounted for as a secured borrowing as opposed to a sale
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