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applesauce234 applesauce234
wrote...
Posts: 343
6 years ago
Refer to Thompson Industries. Assume that Thompson Industries uses the installment sales method. The buyer of the land defaulted on the sales agreement after making the down payment and the first installment. At the time of repossession, the land was worth $700,000.

Required:
Prepare the journal entry to record the repossession.
Textbook 
Intermediate Accounting

Intermediate Accounting


Edition: 1st
Authors:
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wrote...
6 years ago
 
Deferred Gross Profit315,000
Repossessed Asset                585,000
               Installment A/R900,000

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