how do deposit intistitutions differ from non-deposit institutions?

Q: What is the purpose of an allowance for uncollectibles and why is it important?

A: Accounts receivable is the current asset and the amount that is not received yet from the customer…

Q: How does the Trade notes payable differ from accounts payable?

A: Difference: Accounts payable is a short-term liability that is owed by the supplier to the creditor…

Q: Which of the following is NOT commonly regarded as being a credit policy variable? * Collection…

A: “Since you have asked multiple question, we will solve one question for you. If you want any…

Q: What does it mean for CHS to securitize its receivables?

A: Compensating balance: A compensating balance is a minimum amount of cash that must be maintained by…

Q: In the deposit function, banks treat interest as income. True False

A: The deposit function function is the creation of deposits through credit extension, either in the…

Q: is a practice of transfering the ownership of a negotiable instrument such as a check by a payee to…

A: Discounting means where the negotiable instrument has been given to bank before due date to take…

Q: Is any special accounting treatment required for the assigning of accounts receivable in general as…

A: Accounts receivable: Accounts receivable refers to the amounts to be received within a short period…

Q: What are some possible agency conflicts between borrowers and lenders?

A: Answer: Agent: An agent is one who provides work on principal’s behalf.  Principal authorizes agent…

Q: Which of the accounts will require the least deposit?

A: In the given case; Future value required 3 years from now = P100000 Account 1: Here the interest…

Q: A long-term note receivable should be disclosed in Other Assets in a classified balance sheet

A: Answer: Balance sheet consists of assets and liabilities and the classification of assets and…

Q: What is the basic obligation of a depositary bank to its depositor

A: Depositor means a person who deposits money into the bank for the purpose of savings. Depositary…

Q: What is unsecured borrowing?

A: Definition:   Liabilities: The claims creditors have over assets or resources of a company are…

Q: Do U.S. GAAP and IFRS differ in the criteria they use to determine whether a transfer of receivables…

A: International Financial Reporting Standards: They are commonly known as IFRS. It is a set of…

Q: Differentiate a “deposit" and a “deposit substitute"?

A: Deposit is the amount of customer money which is held by bank or other institution. Deposit…

Q: What are the differences between Notes Payable and Accounts Payable?

A: Explain the difference between a note payable and an account payable as follows:Notes payable: A…

Q: When should a debt security be classified as held-tomaturity?

A: Debt securities: Debt security is money borrowed at a specific rate of interest which must be repaid…

Q: Define the characteristics of Notes Payable?

A: A notes payable is described as the written promissory notes. By issuing notes payable, the debtor…

Q: How is internal control applied to liabilities?

A: It is often seen that frauds, employees thefts, and manipulation of records incur in the…

Q: Why Do Transferors of Receivables Generally Want to Account for the Transfer as a Sale?

A:

Q: How are liabilities classified? Why is it important to classify liabilities?

A: A liability is a present obligation of the enterprise arising from past events, the settlement of…

Q: Explain the concept of American depositary receipts (ADRs).

A: Answer: Meaning of American depositary receipts (ADRs): American negotiable securities that signify…

Q: What is noncommited and committed line of credit?

A:

Q: what is the difference between co-pay and coinsurance

A: Coinsurance and copays are different variants of cost sharing arrangement between health insurance…

Q: What are the requirements about forms of Bills or Notes under ULB?

A: "Since you have asked multiple question, we will solve the first question for you. If…

Q: Is notice requirement required before filing a case in escheat proceedings for unclaimed balances?…

A: Escheat refers to the right of the government to take ownership of unclaimed property or unclaimed…

Q: What is a promissory note, and what terms are normally included in promissorynotes?

A: A document or agreement that promises the payment of a specific sum of money at a later date to the…

Q: Why does Accounts receivable often are referred to as trade receivables?

A:

Q: How are refundable deposits and customer advances similar? How do they differ?

A: Refundable Deposits: Refundable deposits are that money in advance offered by the customer. It is a…

Q: What are current and noncurrent accounts among the following: - Deposit Liabilities - Bills…

A: Current liabilities are those Liabilities which are to be repaid within one year.. Any Liabilities…

Q: Explain the term Verification of Borrower Assets?

A: Borrower is the person who take money on credit from a financial or non- financial institution.…

Q: How is certificate of deposit beneficial?

A: A certificates of deposit basically are a sort of the financial savings account that holds a sure…

Q: What is a promissory note? What are its benefits?

A: Promissory note:A promissory note is a legal financial instrument that has a written promise between…

Q: What is trade-off credit and collection policies and its compositions?

A: A external financing is an agreement agreement understanding between partners that facilitates the…

Q: What is the gain on extinguishment of the note payable?

A: option b is the answer.

Q: What is a non interest bearing notes?

A:

Q: What is the relationship of the promissory note between the maker and the payee?

A: A note of hand can be a financial instrument that contains a written promise by one party (the…

Q: Which of the following is most likely to be described as a depository institution?

A: Depository institutions are those institutions who have the authority to accept monetary deposits…