A note receivable is a negotiable instrument which
A) eliminates the need for a bad debts allowance.
B) can be transferred to another party by endorsement.
C) takes the place of checks in a business firm.
D) can only be collected by a bank.

Question

Quizplus · Accepted Answer

A note receivable can be endorsed and transferred to another party, making it a negotiable instrument. This allows for flexibility in collecting the funds owed.

A Note Receivable Is a Negotiable Instrument Which