(Note: BCIs Used as an Example Here

question 106

Multiple Choice

(Note: B.C.is used as an example here.) Fred sold Carole his old Macintosh computer and his printer in addition to eight programs for $2900.After she paid $1000,Carole quit paying.When she had no complaint about the computer,printer,or programs but simply wouldn't pay,Fred decided to sue.He would most likely begin his action in:

• A)Small Claims Division,Provincial Court.
• B)B.C.Supreme Court.
• C)Criminal Division,Provincial Court.
• D)Federal Court.
• E)B.C.Court of Appeal.

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Definitions:

Current Liability

An obligation due to be paid within a year, including accounts payable, short-term loans, and other similar debts.

Notes Payable

Financial obligations represented by promissory notes, where the borrower agrees to pay back a specified sum of money on demand or at a determined future date.

Prepaid Expenses

Expenses paid in advance by a company for goods or services to be received in the future.

Adjusting Process

The procedure used in accounting to record and reconcile expenses and revenues in the appropriate accounting period.