Author Question: Accompanying the bank statement was a credit memo for a short-term note collected by the bank for ... (Read 127 times)

WWatsford · **on:** Jul 5, 2018

Accompanying the bank statement was a credit memo for a short-term note collected by the bank for thecustomer. What entry is required in the company's accounts?
a. debit Notes Receivable; credit Cash
b. debit Cash; credit Miscellaneous Income
c. debit Cash; credit Notes Receivable and Interest Revenue
d. debit Accounts Receivable; credit Cash

Question 2

Cash from operating activities includes ________.

A) all cash receipts and all cash disbursements for long-term business assets
B) all cash receipts and all cash disbursements for loans, contributions from owners, and distributions to owners
C) all cash receipts and cash disbursements for routine sales and payments made in the course of doing business
D) detailed estimates of the sources of cash and uses of cash