Short-term notes payable: Multiple Choice Cannot replace an account payable. Can be issued in return for money borrowed from a b

Question

JulijaS [17]

3 years ago

7

Short-term notes payable: Multiple Choice Cannot replace an account payable. Can be issued in return for money borrowed from a b

ank. Are not negotiable. Are a conditional promise to pay. Rarely involve interest charges.

Business

1 answer:

dybincka [34] · Answer 1 · 2022-03-19T21:58:02+03:00

Answer:

Can be issued in return for money borrowed from a bank.

Explanation:

The short term note payable is a note payable that can be issued against the borrowed amount. Since it is short term so its duration is within one year and it is an amount of loan in which the person has to pay within the specified time period along with the interest charges. It is shown in the liabilities side of the balance sheet

Hence, the second option is correct