IBM Signs an Agreement to Lend One of Its Customers

question 128

Multiple Choice

IBM signs an agreement to lend one of its customers $200,000 to be paid back in one year at 5.5% interest. IBM would record this loan as:

• A) loans payable.
• B) accounts receivable.
• C) notes receivable.
• D) unearned revenue.

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Definitions:

Motor Neurons

Nerve cells responsible for conveying signals from the spinal cord and brain to muscles, inducing movement.

Spinal Cord

A long, thin, tubular structure made up of nervous tissue, which extends from the brainstem down the back, transmitting neural signals between the brain and the rest of the body.

Knee Jerk Reflex

A quick involuntary response involving muscle contraction, triggered by a tap on the tendon below the knee cap.

Spinothalamic Tract

A sensory pathway in the spinal cord and brain that carries information about pain and temperature to the brain.