Match each description to the appropriate term.
1. Maturity value
2. Interest
3. Inte...
Match each description to the appropriate term.
1. Maturity value
2. Interest
3. Interest rate
4. Notes receivable
a. A formal, written instrument of credit that represents amounts due from customers.
b. The stated rate charged for using the money of another party.
c. The amount due that must be paid at the due date of a note receivable.
d. The amount charged for using the money of another party
Answers: 3
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Yowell company granted a sales discount of $360 to a customer when it collected the amount due on account. yowell uses the perpetual inventory system. which of the following answers reflects the effects on the financial statements of only the discount? assets = liab. + equity rev. − exp. = net inc. cash flow a. (360 ) = na + (360 ) (360 ) − na = (360 ) (360 ) oa b. na = (360 ) + 360 360 − na = 360 na c. (360 ) = na + (360 ) (360 ) − na = (360 ) na d. na = (360 ) + 360 360 − na = 360 na
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