The Entry to Record the Cash Received on a Note

question 124

Multiple Choice

The entry to record the cash received on a note discounted at less than face value is to:

• A)debit Cash,credit Interest Income,and credit Notes Receivable.
• B)debit Cash,debit Interest Expense,and credit Notes Receivable.
• C)debit Cash and credit Interest Expense.
• D)debit Notes Receivable and credit Cash.

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Definitions:

Departmentation

The process of dividing an organization into specialized units or departments for efficiency and effectiveness.

Departmentation

The process of dividing an organization into distinct departments, allowing for specialized functions and management.

Configurations

Arrangements or sets of components or elements that are organized in a particular manner or structure.

Task Environment

Comprises the immediate external factors and entities that directly affect an organization's operations, including suppliers, customers, competitors, and regulatory agencies.