Summerz Company Granted an Extension on an Open Account by Accepting

question 20

Multiple Choice

Summerz Company granted an extension on an open account by accepting a 30-day note for $7,000 dated June 20, from SunnyView Company. To raise cash, Summerz sold the note to a bank on June 29. The days held by endorser and the discount period of the note is:​

• A) ​9 days and 21 days, respectively.
• B) ​21 days and 9 days, respectively.
• C) ​8 days and 22 days, respectively.
• D) ​10 days and 20 days, respectively.

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Definitions:

Personal Growth

The process of improving self-awareness, developing talents, enhancing the quality of life, and contributing to the realization of dreams and aspirations.

Panic Attack

A sudden episode of terrifying bodily symptoms such as labored breathing, choking, dizziness, tingling hands and feet, sweating, trembling, heart palpitations, and chest pain.

Medical Model

The medical model is an approach to understanding and treating mental disorders, emphasizing biological and physiological explanations and treatments.

Systematic Desensitization

A therapeutic approach designed to reduce anxiety or fear through gradual exposure to the feared object or situation while employing relaxation techniques.