Table of contents

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

7. Receivables and Investments

Types of Receivables

Financial Accounting

7. Receivables and Investments

Types of Receivables

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Multiple Choice

Which of the following is NOT a type of receivable?

Interest Receivable

Merchandise Inventory

Notes Receivable

Accounts Receivable

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Understand the concept of receivables: Receivables are amounts owed to a business by customers or other entities, typically resulting from sales or lending activities. Common types include Accounts Receivable, Notes Receivable, and Interest Receivable.

Analyze each option provided: Interest Receivable refers to interest earned but not yet received, Notes Receivable refers to written promises for amounts to be received, and Accounts Receivable refers to amounts owed by customers for credit sales.

Identify the term 'Merchandise Inventory': Merchandise Inventory represents goods a company holds for sale to customers, which is classified as an asset but not a receivable.

Compare 'Merchandise Inventory' with the other options: Unlike the other options, Merchandise Inventory does not represent an amount owed to the company and is therefore not a type of receivable.

Conclude that 'Merchandise Inventory' is the correct answer because it does not fit the definition of a receivable, while the other options do.