Regarding the two parties to a note,the:
A)creditor has a note receivable and the debtor has a note payable.
B)creditor has a note payable and the debtor has a note receivable.
C)creditor is also called the maker of the note.
D)debtor is also called the lender.

Question

Quizplus · Accepted Answer

The creditor (lender) has a note receivable, which means they are owed money by the debtor. The debtor (borrower) has a note payable, which means they are obligated to repay the money to the creditor. Therefore, choice A is correct. Choice B is incorrect as it reverses the roles of the parties. Choice C is not universally true, as the maker of the note can refer to either party depending on the context. Choice D is incorrect as the debtor is not the lender, but rather the borrower who owes money to the creditor.

Regarding the Two Parties to a Note,the