Company a Has a Note Receivable of $5,000

question 13

Multiple Choice

Company A has a Note Receivable of $5,000. The note will be collected in installments. $1,000 is due within a year and the remainder is due after a year. The classification of the note on the balance sheet is:

• A) all $5,000 is a current asset.
• B) all $5,000 is a long term asset.
• C) $1,000 is a current asset and $4,000 is a long-term asset.
• D) $4,000 is a current asset and $1,000 is a long-term asset.

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Definitions:

Computer Software

Programs and other operating information used by a computer to perform specific tasks.

Confidential Information

Private information, the disclosure of which would be injurious to a business; a type of intellectual property.

Punitive Damages

Punitive damages are awarded in civil lawsuits as a punishment to the defendant and deterrent to others, over and above compensatory damages.

Confidential Information

Sensitive data or knowledge that is not to be shared with the general public, protected by privacy laws or agreements.