Question

match the terms with their correct definition
term
accounts receivable
other receivables
debtor
notes receivable
maturity date
creditor
definition
a miscellaneous category that includes any other type of receivable where there is a right to receive cash in the future
a written promise to pay a specified amount of money at a particular future date.
the date when the note receivable is due.
the party to a credit transaction who takes on an obligation/payable.
the party who receives a receivable and will collect cash in the future.
the right to receive cash in the future from customers for goods sold or for services performed

Explanation:

• Accounts receivable: This is related to the right to receive cash from customers for goods sold or services performed.
• Other receivables: A miscellaneous category for other types of receivables with a future cash - receipt right.
• Debtor: The party in a credit transaction with an obligation/payable.
• Notes receivable: A written promise to pay a specified amount at a future date.
• Maturity date: The due date of the note receivable.
• Creditor: The party that receives a receivable and will collect cash.

Answer:

• Accounts receivable: The right to receive cash in the future from customers for goods sold or for services performed.
• Other receivables: A miscellaneous category that includes any other type of receivable where there is a right to receive cash in the future.
• Debtor: The party to a credit transaction who takes on an obligation/payable.
• Notes receivable: A written promise to pay a specified amount of money at a particular future date.
• Maturity date: The date when the note receivable is due.
• Creditor: The party who receives a receivable and will collect cash in the future.