Choose the One Most Appropriate Answer for Each

question 32

Multiple Choice

Choose the one most appropriate answer for each.
-contract performance according to the precise terms agreed upon

• A)assign
• B)attorney-in-fact
• C)breach of contract
• D)competent party
• E)consideration
• F)counteroffer
• G)duress
• H)forbear
• I)fraud
• J)liquidated damages
• K)money damages
• L)mutual agreement
• M)novation
• N)offeror
• O)rescind
• P)specific performance
• Q)statute of frauds
• R)unilateral contract
• S)void contract
• T)voidable contract

Differentiate between notes receivable and accounts receivable in terms of legal standing and financial reporting.

Understand the concept and accounting treatments for collecting previously written-off accounts.

Recognize the parties involved in a promissory note and understand their roles.

Calculate the total interest on various notes receivable.

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Definitions:

Retained Earnings

The portion of a company's profits that is kept or retained and not paid out as dividends to shareholders.

Credit Card Receivables

The outstanding balances owed to a company from customers' credit card transactions, considered an asset.

Student Loans

Loans offered to students to finance their education, typically with terms that defer payments until after graduation.

Accrued Fees

Charges that have been incurred but not yet paid or recorded by the end of the accounting period.