| A | B |
|---|
| promissory note | a written and signed promise to pay a sum of money at a specified time |
| creditor | a person or organization to whom a liability is owed |
| note payable | a written and signed promise to pay a sum of money at a specified time |
| principal (face value) | the original amount of a note; sometimes referred to as face amount of a note |
| term (time) | amount of time the borrower has to repay the note |
| issue date | date on which a note is written |
| payee | the person or business to whom the amount of a note is payable |
| maturity date | the date a note is due |
| maker | the person or business who signs a note and thus promises to make payment |
| maturity value | the amount that is due on the maturity date of a note |
| current liabilities | liabilities due within a short time, usually within a year |
| long-term liabilities | debts that become due after one year |
| interest-bearing note | a note that requires the principal plus interest to be paid on the maturity date |
| non-interest-bearing note | note where the interest is deducted in advance from the face value of the note |
| bank discount | interest deducted in advance on a non-interest-bearing note |
| proceeds | The amount received from the sale of an asset, from the issuance of bonds or stock, or from a bank loan. |
| interest expense | the interest accrued on money borrowed |
| note receivable | promissory notes that a business accepts from customers |
| interest income | the interest earned on money loaned |
| dishonored note | a note that is not paid when due |
