Asked by MATTHEW NESTER on Jul 03, 2024
Verified
A note receivable is a written promise by the maker to the payee to pay a specified amount of money at a definite time.
Note Receivable
A written promise for amounts to be received by a debtor, typically including interest, representing a credit instrument to the holder.
Specified Amount
A certain, defined quantity or sum mentioned in a financial document or agreement.
Definite Time
A specified, clear duration with a known start and end point.
- Distinguish between accounts receivable and notes receivable and comprehend their influence on financial disclosures.
Verified Answer
JJ
Jasmyn JamesJul 07, 2024
Final Answer :
True
Explanation :
A note receivable is a written promise to pay a specific amount of money at a definite time, usually with interest. It is a type of promissory note that represents a legal commitment to pay back borrowed money.
Learning Objectives
- Distinguish between accounts receivable and notes receivable and comprehend their influence on financial disclosures.
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