Professional Documents
Culture Documents
INSTALLMENT
INSTALLMENT
SALES
Installment Sales
• Down Payment
• Balance in a series of payment
(2) GP realized (GP rate 40%); cash collected $4,000;GP realized of $4,000 is $1,600
Accrued Interest Accrued Interest
Reacquired real estate (Parcel A) valued at $28,500; surrendered M.note with unpaid
balance of $36,000
Jan 1- Dec 1
(1) Reg sales consisted of cash sales $250,000, and sales on account,
$200,000; installment sales were $150,000
(3)Receipt in addition to those from cash sales were from the following sources:
account receivables……………$190.000
installment CR 19X7……………...80.000
installment CR 19X6………………40.000
installment CR 19X5………………15.000