With Regard to Notes Receivable, Which of the Following Statements

question 31

Multiple Choice

With regard to notes receivable, which of the following statements is correct?

• A) The borrower signs a written promise to pay the lender a definite sum at the maturity date, with interest.
• B) Notes receivable are also called promissory notes because a written promise to pay is not required.
• C) Notes receivable are less formal contracts than accounts receivable.
• D) All notes receivable require the borrower to pledge collateral.

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Definitions:

Market Equilibrium Wage

The market equilibrium wage is the rate of compensation for labor where the quantity of labor supplied by workers matches the quantity of labor demanded by employers, resulting in no excess supply or demand in the job market.

Industrial Union

A method of labor union organization in which workers from a specific industry are unified into a single union, irrespective of their individual skills or trades.

Right to Work Laws

Laws that prohibit union security agreements between companies and workers' unions, preventing mandatory union membership for employment.

Labor Union Members

Individuals who belong to an organization that represents workers' interests, including wages, working conditions, and hours.