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- ________________1. This is the criterion to determine whether the transfer is accounted for as borrowing._______________ 2. What account to debit if the company pays a delinquent notes receivable that was previously discounted._______________ 3. What account to credit if the customer’s notes receivable become delinquent and was not previously discounted.5. Which of the following will make Murabaha invalid? a. If payment is made in installments b. if the supplier is not paid directly by the bank. c. Price not agreed. d. Price not fully paid.True or False 1. A debtor may authorize anybody to pay the creditor on his behalf. 2. The creditor has no right to refuse payment from person authorized by the debtor. 3. The debtor is obliged to pay the loan unconditionally. 4. Creditor has the right to demand payment of cash only. 5.
- Cardholders who fail to make the minimum monthly payment on their credit card account are considered to be [in default | overdrawn] on their account. a. in default b. overdrawnQuestion 5 If company sells its accounts receivables to a factor (such as a finance company), which of the following is not true: O a. the selling company credits accounts receivable for the face value of the A/R sold. O b. the selling company is no longer responsible for collecting cash from the customers. O c. the selling company records a contra revenue for the fee paid to the factor. O d. the selling company pays a service charge (usually a percent of the A/R sold) to the factor. Moving to another question will save this response.The bill of exchange written by W states that BPI Family Savings Bank will get the reimbursement of the payment from W’s savings account. What element is present in this situation? A. There is an unconditional order to pay. B. There is period to pay the bill. C. It is payable to order D. None of the above The bill of exchange written by X indicates that for the payee to receive the money from the drawee bank, the payee must first sell his house and car and give the proceeds to charity. What element is present in this situation? A. There is an unconditional order to pay. B. There is period to pay the bill. C. It is payable to order D. None of the above
- Which of the following would not result in a reduction of the amount invoiced to a customer when a credit sale is made? A. Quantity discount B. Cash-free discount C. Sales discountD. Two-for-one specialWhen a customer is delinquent on paying a notes receivable, your company has the option to continue to attempt collection or sell the debt to a collection agency. Research the benefits and challenges with each of these options and in a short essay, answer the following questions. A. What are the benefits and challenges of continuing to attempt collection yourself? B. What are the benefits and challenges of selling debt to a collection agency? C. If you had a dishonored notes receivable, which option would you select and why? D. Would you weight certain benefits or challenges differently when making your selection? How?True or False. 1. Payment of the loan is expected to be in the form of cash, and in currency, as agreed upon in the loan agreement. 2. A debtor may authorize anybody to pay the creditor on his behalf. 3. The creditor has no right to refuse payment from person authorized by the debtor. 4. The debtor is obliged to pay the loan unconditionally. 5. Creditor has the right to demand payment of cash only. 6.
- When a customer is delinquent on paying a notes receivable, your company has the option to continue to attempt collection or sell the debt to a collection agency. Research the benefits and challenges with each of these options and in a short essay, answer the following questions. Required part B What are the benefits and challenges of continuing to attempt collection yourself? What are the benefits and challenges of selling debt to a collection agency? If you had a dishonored notes receivable, which option would you select and why? Would you weight certain benefits or challenges differently when making your selection? How?Question 46 of 50. Which situation is generally a consequence of overly lenient loan repayment terms? A. The borrower does not have the needed cash flow for operations. B. The lender defers solely to the customer's judgment. C. The borrower uses the funds for purposes other than loan repayment. D. The lender has much control over how funds are used by the borrower. Mark for follow up37- Promissory notes are not used in one of the following situation a. When the business borrows money b. When the business makes settlement of accounts receivables c. When the business make sales d. When the period of credit exceed the normal limits