What is the distinguishing characteristic between accounts receivable and notes receivable? a. Notes receivable generally specify an interest rate and a maturity date at which any interest and principle must be repaid. b. Notes receivable result from credit sale transactions for merchandising companies, while accounts receivable result from credit sale transactions for service companies. c. Accounts receivable require payment of interest while notes receivable does not have payment of interest. d. Accounts receivable are usually current assets while notes receivable are usually long-term assets.

What are the differences between Notes Payable and Accounts Payable?

Graves Construction is journalizing two transactions related to uncollectible accounts. The first transaction does not affect cash flows. but the second transaction does affect cash flows. If Graves Construction uses the allowance method to account for uncollectibles, which of the following scenarios may pertain to these transactions? O The first transaction is to record the sale of uncollectible accounts to a factor, and the second transaction is to record the write-off of an uncollectible account. O The first transaction is to record the recovery of a previously written off collectible account, and the second transaction is to record the estimate of uncollectible accounts. The first transaction is to record the write-off of an uncollectible account, and the second transaction is to record the recovery of a previously written off uncollectible account. O The first transaction is to record the write-off of an uncollectible account, and the second transaction is to record the estimate…

When a business factors its accounts receivables, the business no longer has to deal with the collection of the receivables from the customers receives cash, less an applicable fee, after the factor collects from the customers uses the receivables as security for a loan receives the total amount of the receivables from the factor