S4) J. Lennon borrows a sum of money from Y. Ono. A promissory note is used to document the terms of the transaction. In this situation A) J. Lennon is considered the maker of the note B) J. Lennon is considered the payee of the note C) J. Lennon records the note as an asset in his accounting records. D) The maker of the note could be either Y. Ono orJLenon depending on which party actually draws up the document. (55-56) On November 1, 2017, Salem Corporation sold land priced at $900,000 in exchange for a 6% six-month note receivable. 55) The journal entry made by Salem to record this transaction on November 1, 2017, includes: A) A debit to Notes Receivable of $927,000. B) A debit to Interest Receivable of $27,000. C) A credit to Interest Revenue of $27,000. D) A debit to Notes Receivable of $900,000. 56) Salem's balance sheet at December 31, 2017, includes which of the following as a resul of the sale of land on November 1? A) Notes Receivable of $900,000 and Interest Receivable of $9,000. B) Notes Receivable of $927,000 and Interest Receivable of $9,000. C) Notes Receivable of $900,000 and Interest Reccivable of $27,000. D) Notes Receivable of $900,000 only 57) Watins, Inc.'s 2018 income statement reported net sales of $5,000,000. Watin's average accounts receivable during 2018 amounted to $450,000. Using 360 days to a year, Watin's: A) Accounts receivable turnover rate is approximately 13.8 times. B) Accounts reccivable turnover rate is approximately 1.25 times. C) Average number of days to collect an account receivable is 32 days. D) Accounts receivable turnover rate is approximately 2 times. 58) Kent Company has used the same inventory method for many years. This is an example of which principle? A) Matching B) Realization C) Cost D) Consistency 59) Which of the four inventory approaches is best suited to inventories of high-priced, low- volume items? A) LIFO B) FIFO C) Average cost. D) Specific identification