It Is Never Good Practice to Accept a Note Receivable

question 119

True/False

It is never good practice to accept a note receivable in exchange for an overdue account receivable.

---

Definitions:

Criterion

A principle or standard by which something may be judged or decided.

Farming

The practice of cultivating land, raising crops, and/or keeping animals to produce food and other agricultural products.

Mining

The extraction of valuable minerals or other geological materials from the Earth, often from an ore body, lode, vein, seam, or reef.

Critical Event

A significant occurrence that has a profound effect on operations, which may necessitate considerable adjustments to business activities.