If a long-term note receivable is included on an accounts receivable listing, there is a violation of the:
A) timing objective.
B) classification objective.
C) completeness objective.
D) existence objective.

Question

Quizplus · Accepted Answer

A long-term note receivable should not be included on an accounts receivable listing, as it is not a current asset. This violates the classification objective, which requires items to be classified correctly on financial statements.

If a Long-Term Note Receivable Is Included on an Accounts