The question given is incomplete because it did not provide the answer choices. I got the complete question from google as below:
Match the item with the type of receivable:
an answer may be used once, more than once or not at all.
a. Loans to employees
b. A company sold inventory with terms 2/10, n/30
c. A company loaned money to be repaid in one year with 10% interest.
d. A company is owed money from the internal revenue service and recorded an Income tax receivable.
Answer choices:
i. Note receivable
ii. Account receivable
iii. Other receivable
Answer:
a. Loan to employees - other receivable.
b. Sold Inventory - account receivable.
c. Loan money to be repaid in one year - note receivable.
d. Money owed from Internal Revenue Service - other receivable
Step-by-step explanation:
a) Loan to employees: It should be categorized as other receivable because it is not associated with the definitions of accounts receivable and notes receivable.
b) Sold Inventory: It should be categorized as account receivable because when goods are sold on credit, they generate accounts receivable.
c) Loan money to be repaid in one year: It should be categorized as a note receivable. A short term loan bearing interest is referred to as a note receivable.
d) Money owed from Internal Revenue Service: It should be categorized as other receivable because it is not associated with the definitions of accounts receivable and notes receivable.