A note receivable Mild Max Cycles discounted with recourse was dishonored on its maturity date. Mild Max would debit:

Name: A note receivable Mild Max Cycles discounted with recourse was dishonored on its maturity date. Mild Max would debit:
Brand: Quizplus
Rating: 4.9 (53 reviews)

Question

Quizplus · Accepted Answer

When a note receivable is dishonored, the company would debit a receivable account to recognize that the expected cash inflow from the note will not be realized and needs to be reclassified as an account receivable again.

A Note Receivable Mild Max Cycles Discounted with Recourse Was