How does getting a secured loan using accounts receivableas collateral differ from factoring?

Q: Finding the total interest of a loan is similar to finding the total interest in an annuity's

A: When you take a loan then you have to make payments towards the principal amount as well as towards…

Q: Define the term Deferred Loan Repayments?

A: Answer: A deferred loan payment is nothing but a loan agreement in which the borrower may start…

Q: Explain in general terms how the portions of loan payments going to principal and interest change…

A: Installment loans gradually pay down the loan principal while the payments remain the same .…

Q: What is a bank discount? How does it differ to simple interest? State the bank discount formula

A: Bank DiscountIt is the Interest amount on the loan that is being subtracted from the principal value…

Q: What is a creditor

A: Given the following question: What is a creditor?

Q: The payment for the use of borrowed money is called: loan maturity value interest principal

A: Borrowed money is the loan taken, which is to be repaid within the terms of the loan contract.

Q: What is the difference between a line of credit and a short-term loan?

A: Short term loan:   A loan is borrowed money that is to be paid back along with the interest. A…

Q: For a creditor; how is a loan impairment recorded?

A: Creditors:   They are the outside entities to whom the business owes money for any product or a…

Q: What is the difference between Notes Payable and Accounts Payable?

A: Introduction: Accounts payable  is an account within the general ledger that represents a company's…

Q: How can we determine a Loan's Balance, Principal, and Interest?

A: Loan balance can be determined with the help of formulae: PV is present value r is rate N is number…

Q: How did you get the loan repayment and bank loan?

A: Bank Loan is a non-current liability of the business and it is borrowed to finance long term plans…

Q: What is the nature of a “discount” on notes payable?

A: A discount on Notes payable is a contra liability account to the Notes payable account. When the…

Q: How long-term deposit accounts benefit borrowers

A: A deposit account is an account that is held by the customers of a bank and financial institutions…

Q: Illustrate some examples in the area of loan transactions?

A: Loan transactions Accounting: Loans refer to one of the best options for financing. Every business…

Q: Bank loans often are arranged under existing lines of credit. What is a line of credit? How does a…

A:

Q: How the interest rate affects the release of credit card

A: Given,

Q: Which of the following is considered receivables? (select all that applies)  rents   note payables…

A: Receivables are the amounts that are expected to be received by an entity either at present day or…

Q: Which of the following has the highest relative likelihood of being defaulted in paying the…

A: The interest expense and earnings before interest and income taxes details for each of the company…

Q: rms: credit transfer, dishonoured cheque, standing order and give examples, the purposes, advantage

A: Credit transfer can refer to: The transfer of money from one account to another, also called a wire…

Q: What is the process of calculating the remaining balance of different types of loans?

A: The remaining balance of a credit plan equation can be part of two sections, the future estimation…

Q: What is a line of credit? A revolving credit agreement?

A: If a lender offers a revolving loan account, a particular credit cap is allocated to the lender.…

Q: For what items may a lender require escrow accounts from a borrower?

A: Escrow account is the third party account in which securities or assets are kept until the…

Q: What two types of current assets are frequently used as security for short-term loans?

A: Short term loans are generally obtained by companies in order to support their temporary business…

Q: Define secured loans.

A: Secured Loans: Secured loans are those for which the borrower puts up some asset as security or…

Q: Define the characteristics of Notes Payable?

A: A notes payable is described as the written promissory notes. By issuing notes payable, the debtor…

Q: How Do We Manage our Credit Card Debt?

A: There are many ways to manage the credit card debt. Some of them are below: Pay more than the…

Q: Does a discounted note payable provide credit without interest? Discuss.

A: Short-term notes payable: Short-term notes payable is a written promise made by the business to pay…

Q: What is the Relationship of Note to Mortgage?

A: Relationship of Note to mortgage Document of Mortgage acts as a promissory note. A promissory note…

Q: What are the 5 Cs of credit that are sometimes used by bankers and others to determine whether a…

A: While granting credit banks do analysis of that loan amount will be repaid without any problem.

Q: What types of short-term credit are classified as accrued liabilities?

A: An accrued liability means the expense of the business incurred during a specific period but has yet…

Q: How does compound interest affect the loans you undertake? For example, how would this  affect…

A: Interest is an additional value which is charged on borrowed or deposited amount. Interest can be an…

Q: A loan secured with a financial asset (eg. Accounts receivables) is a called a ___________ loan.…

A: Financial asset is a liquid asset which can be easily sold in the market. A financial asset can be…

Q: What does it mean when a lender accelerates on a note? What is meant by forbearance?

A: Promissory note is written by the borrower and sent to the lender. In promissory note, borrower…

Q: why loan officer prefer accrual basis accounting

A: The financial statement of a firm can be prepared based on accrual basis of accounting or cash basis…

Q: How are refundable deposits and customer advances similar? How do they differ?

A: Refundable Deposits: Refundable deposits are that money in advance offered by the customer. It is a…

Q: Describe the concept of non interest bearing on loan.

A: A non-interest bearing loan is a debt for which there is no documented requirement for the borrower…

Q: What kinds  of fees and penalties can be levied on savings accounts?

A: Bank: It is a financial institution that accept deposits from and provide loan to public. This…

Q: Which of the following shows the timeline of the loan from the lender's perspective?

A: A lender is the one who lends to the other party. In return, the lender receives the sum with an…

Q: What is a non interest bearing notes?

A:

Q: What is the process of Borrowing with Credit Cards?

A: The credit card is a vital instrument to upsurge the buying power. The credit card facility aids to…

Q: Documents of credit appraisal for individual loan.

A: Credit appraisal basically refers to assessing a particular loan application or proposal in a…

Q: Explain the terms of Classification of Mortgage Loans?

A: Mortgage Loan     Mortgage means transfer of interest to immovable property in order to secure the…

Q: WHAT IS THE LOAN FACILITY THAT WILL BE USED TO COVER THE DEPOSIT AND CLOSING COST

A: Credit facility Meaning: Credit facility is type of loan that is made business and corporate…