Jada Morgan recently purchased on lay-a-way a big screen television from Walmart. Jada paid $200 as a cash deposit on the television. The television cost Walmart $2,000 and has a total retail price of $3,500. Walmart has set the television aside pending the payment by Jada of the balance owed. Walmart require its customers to enter into an installment note or other fixed payment agreement when the initial deposit is received. Merchandise on layaway generally is not released to the customer until the customer pays th full purchase price. If the customer fails to pay the remaining purchase price, the customer forfeits his or her cash deposit. In the event the merchandise is lost, damaged or destroyed, Walmart either must refund the cash deposit or provide replacement merchandise. When should Walmart recognize the revenue from the sale to Jada? Justify your

Answer rating: 100% (QA)

Walmart as a retailing store has several policies to be considered while entering into credit transactions they are The customer has to pay an initial ... View the full answer