Which of the Following Would Be Included in the Entry

question 94

Multiple Choice

Which of the following would be included in the entry to record a dishonored note receivable by the payee?

• A) A debit to Accounts receivable
• B) A debit to Interest revenue
• C) A debit to Notes receivable
• D) A credit to Interest expense

---

Definitions:

Financial Statement

A written record that conveys the business activities and the financial performance of a company.

Debt-Equity Ratio

The measure indicating the dual use of debt and equity in the economic structuring of a company’s assets.

Dividend Payout Ratio

The fraction of net income a firm pays to its shareholders in dividends, represented as a percentage.

Profit Margin

A financial metric indicating the percentage of revenue that remains as profit after accounting for costs and expenses.