Question

Match each description to the appropriate term.

1. Maturity value
2. Interest
3. Interest rate
4. Notes receivable

a. A formal, written instrument of credit that represents amounts due from customers.
b. The stated rate charged for using the money of another party.
c. The amount due that must be paid at the due date of a note receivable.
d. The amount charged for using the money of another party

Answer 1

Answer and Explanation:

The matching is as follows;

1. (c) the maturity value is the due amount that should be paid at the due date

2. (d) The interest is the amount that should be charged for using the money of other party

3 (b) The interest rate is the rate charged for using that money of the other party

4(a) The note receivable is the instrument that should be formal and written which shows the amount outstanding from the clients