On December 30, 2020, JK sold a piece of property for $370,800. Her basis in the property was $166,860, and she incurred $3,708 in selling expenses. The buyer paid $18,540 down with the balance payable in $35,226 installments over the next ten years. In addition, the buyer assumed a $55,620 mortgage on the property.

On December 30, 2020, Whitney sold a piece of property for $290,200. Her basis in the property was $130,590, and she incurred $2,902 in selling expenses. The buyer paid $14,510 down with the balance payable in $27,569 installments over the next ten years. In addition, the buyer assumed a $43,530 mortgage on the property. Under the installment sales method, what is the total contract price, the total gain on the sale, and the amount of gain reported in 2020?

Answer rating: 100% (QA)

1 ForJK under the installment sales method thetotal contract price is 370800 thetotal gain on the sa... View the full answer