Amounts owed by customers from credit sales for which payment is required in periodic amounts over an extended time period are referred to as:
A)Factored Receivables
B)Honored Receivables
C)Notes Receivable
D)Installment Accounts Receivable
E)Credit Sales Receivable

Question

Quizplus · Accepted Answer

Installment Accounts Receivable are amounts owed by customers from credit sales for which payment is required in periodic amounts over an extended time period. Factored Receivables are receivables that have been sold to a third party for immediate cash, Honored Receivables are receivables for which payment has been received, Notes Receivable are receivables that are supported by formal promissory notes, and Credit Sales Receivable is not a commonly used term.

Amounts Owed by Customers from Credit Sales for Which Payment