Access over 20 million homework & study documents

The Balance Sheets Assets

Content type
User Generated
Subject
Other
Type
Homework
Rating
Showing Page:
1/7
Running Head: BALANCE SHEET REFLECTION 1
Balance Sheet Reflection
Name
Instructor
Institutional Affiliation
Date

Sign up to view the full document!

lock_open Sign Up
Showing Page:
2/7
BALANCE SHEET REFLECTION 2
1. Define and explain two common types of receivables.
Response
Receivables can be categorized broadly as either accounts receivables or notes receivables
although there are other types of receivables that a company can have. It is important to note that
receivables are what the customers and other entities owe the company. Below is the description
of the two types of receivables.
a. Accounts Receivables
Account receivables generally refer to amounts that customers or the company debtors owes
the company basically for normal credit purchases allowed by the company (Needles, Powers &
Crosson, 2013). Whenever a company allows customers to purchase items on credit, the credit
purchases amounts to account receivables to the company and they are normally collected within
a span of two months. The credit purchases are considered current assets in the balance sheet.
b. Notes Receivables
Notes receivable refers to amounts customers and other entities or individual owes the
company. The only difference between account receivables and note receivables is that in
account receivables, customers and other individuals who owe the company have actually signed
formal promissory notes in acknowledgement of the debt that they owe the company (Needles,
Powers & Crosson, 2013)..
2. Why does a business depreciate?

Sign up to view the full document!

lock_open Sign Up
Showing Page:
3/7

Sign up to view the full document!

lock_open Sign Up
End of Preview - Want to read all 7 pages?
Access Now
Unformatted Attachment Preview
Running Head: BALANCE SHEET REFLECTION Balance Sheet Reflection Name Instructor Institutional Affiliation Date 1 BALANCE SHEET REFLECTION 2 1. Define and explain two common types of receivables. Response Receivables can be categorized broadly as either accounts receivables or notes receivables although there are other types of receivables that a company can have. It is important to note that receivables are what the customers and other entities owe the company. Below is the description of the two types of receivables. a. Accounts Receivables Account receivables generally refer to amounts that customers or the company debtors owes the company basically for normal credit purchases allowed by the company (Needles, Powers & Crosson, 2013). Whenever a company allows customers to purchase items on credit, the credit purchases amounts to account receivables to the company and they are normally collected within a span of two months. The credit purchases are considered current assets in the balance sheet. b. Notes Receivables Notes receivable refers to amounts customers and other entities or individual owes the company. The only difference between account receivables and note receivables is that in account receivables, customers and other individuals who owe the company have actually signed formal promissory notes in acknowledgement of the debt that they owe the company (Needles, Powers & Crosson, 2013).. 2. Why does a business depreciate? BALANCE SHEET REFLECTION 3 Response ...
Purchase document to see full attachment
User generated content is uploaded by users for the purposes of learning and should be used following Studypool's honor code & terms of service.

Anonymous
Just what I needed…Fantastic!

Studypool
4.7
Trustpilot
4.5
Sitejabber
4.4

Similar Documents