Non-trade receivables should be reported separately from trade receivables. Sele

Question

Non-trade receivables should be reported separately from trade receivables. Select the best answer explaining if this question is either true or false and the reason.

Question 11 options:

It is true because non-trade receivables do not result from business operations and should not be included with accounts receivable

It is false because management can decide how to report receivables.

It is true because trade receivables are current assets and non-trade receivables are long term.

It is false because all current receivables must be grouped togeher in one account.

It is true because non-trade receivables do not result from business operations and should not be included with accounts receivable

It is false because management can decide how to report receivables.

It is true because trade receivables are current assets and non-trade receivables are long term.

It is false because all current receivables must be grouped togeher in one account.

Explanation / Answer

Non-trade receivables should be reported separately from trade receivables.

It is true because non-trade receivables do not result from business operations and should not be included with accounts receivable.

Accounts receivables means the receivables due to the trading activities of the business and should be recognized separately from Non-trade receivables.

Related Questions

Navigate

• Browse (All)
• Browse N
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.