A Company's Balance Sheet Contained the Following Information: Assuming Notes

question 108

Multiple Choice

A company's balance sheet contained the following information: Assuming Notes Payable is the only other item on the balance sheet:

• A)Notes Payable must equal $200,000.
• B)Notes Payable must equal $8,000.
• C)Notes Payable must equal $72,000.
• D)Notes Payable must equal $344,000.

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Definitions:

Counterclaim

A claim made to offset another claim in a legal action, essentially a defendant’s claim against the plaintiff.

Examination for Discovery

A pre-trial process where parties in a lawsuit have the opportunity to question each other or witnesses under oath.

Balance of Probabilities

The standard of proof in most civil cases, requiring that a party's case is more likely true than not.

Statement of Claim

A legal document filed in court that outlines the plaintiff's allegations against the defendant and the legal basis for the lawsuit.